Commonwealth Bank passes on full rate cut from August 14

Australia's biggest mortgage lender, the Commonwealth Bank today announced it will reduce interest rates on both its standard variable home loan account and its residentially-secured better business loan by 0.25 percentage points per annum. The new standard variable home loan rate is 5.90% per annum.

The new rates will be effective for new and existing customers on Wednesday, 14 August 2013. 

In making this decision, the Group has continued to balance the interests of its home loan and business borrowers with those of its depositors, and people who either hold shares directly or own shares through their superannuation funds. 

 “The Commonwealth Bank believes this is a balanced decision, and takes into account both domestic and offshore factors," said Matt Comyn, group executive retail banking services at the Commonwealth Bank.