Greater Building Society passes on 30 basis point rate cut to borrowers
The Greater Building Society has cut its variable mortgage rates by 30 basis points - 5 basis points more than the official RBA rate cut announced on Tuesday.
It is the only lender to date to have announced it is passing on more than the 25 basis points cut from the cash rate.
The Greater’s standard variable home loan rate will fall to 5.75% p.a (comparison rate of 5.81%) and its basic variable home loan rate will fall to 5.40% (comparison rate of 5.45%).
The Greater’s packaged loan rate will fall to 5.19% (comparison rate 5.75%).
The Newcastle-based building society has 250,000 members across 66 branches in NSW, southeast Queensland and in Townsville.
It's probably most famous for convincing Jerry Seinfeld to appear in its advertising campaign a few years ago.
The new rates are effective from today for new customers and from May 15 for existing customers.
| Standard variable loan (comparison rate) | Basic variable home loan (comparison rate) |
Greater Building Society | 5.75% (5.81%) | 5.40% (5.45%) |
National Australia Bank | 6.13% (6.22%) | 5.92% (5.92%) |
Commonwealth Bank | 6.15% (6.29%) | 5.69% (5.83%) |
Westpac | 6.26% (6.39%) | 5.61% (5.66%) |
Customers on a 25 year standard variable or basic home loan of $300,000 will see their monthly repayments reduce by $55.
CEO Don Magin said that under the new rates, a person switching a 25 year, $300,000 standard variable home loan from Westpac to The Greater will save $58,200 in interest and be able to pay their loan off 7.5 years sooner.