Westpac joins other big two to cut fixed home loan interest rates

Westpac joins other big two to cut fixed home loan interest rates
Westpac joins other big two to cut fixed home loan interest rates

Westpac is cutting fixed rates on owner occupier and investor home loans by up to 0.20 percent, effective tomorrow.

Westpac’s decision comes after the nation’s largest bank, CBA, who cuts rates on Tuesday.

It is the second time this year that Westpac has cut some of its fixed home loans, after cutting some of its 2-year fixed rates in February.

Westpac joins other big two to cut fixed home loan interest rates

(Source: RateCity.com.au)

RateCity.com.au research shows 40 lenders have cut fixed rates on around 450 products since the beginning of the year. 

ANZ is the only big bank to have not cut its fixed rates this year.

The Commonwealth Bank has cut interest rates on its fixed-rate loans for home owners and investors.

Lenders to cut their fixed rates since the start of the year include Macquarie, St George Bank, Adelaide Bank, AMP, Bankwest and, from this Friday, Bendigo Bank.

CBA has also cut 0.1 percentage points off its three-year and four-year fixed-rate loans for owner-occupiers, to take the new rates to 3.79 per cent and 4.09 per cent respectively.

The bank has also sliced 0.1 per cent off its investment loans, with its two-year loan now sitting at 3.89 per cent, its three-year fixed at 3.99 per cent and five years at 4.39 per cent.

The cuts apply to principal and interest loans and are "packaged" rates, where those applying for the loans have other products with the bank, and apply to those taking out a new fixed-rate loan.

As demand for home loans slows, the cuts apply to a range of fixed-rate home loans, with the biggest cut of 0.3 percentage points to its five-year owner-occupied loan to a new rate of 4.09 per cent.

Figures from comparison site Mozo show that a home buyer with a $400,000 loan would save $4260 over the five-year fixed period.

Tags: 
Westpac Rate Cuts

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