Big Four face non-bank lender rate cut blitz

Just hours after the RBA announced they are further dropping the cash rate by 0.25% today, non-bank lenders are slashing rates ahead of the Big four.

Athena home loans announced it will be passing on the full rate cut.

Another passing on the full rate cut with rates as low as 2.89% is Reduce Home Loans.

Both Reduce Home Loans and Athena's cuts are effective immediately.

Reduce Home Loans was awarded Australia’s Cheapest Home Loan by Money magazine in 2016, 2017, 2018 and 2019.

Resimac and subsidiary State Custodians have both announced they will be passing on the full July RBA rate cut, effective July 24.

So far ANZ is the only of the big four to announce they are cutting rates, passing on the full July cut, unlike in June when they only passed on 0.18 basis points.

CBA will reduce its standard variable rate home loans by between 0.19% p.a. and 0.25% p.a.

• Owner Occupied Principal and Interest Standard Variable Rate home loan reduced by 0.19% per annum (p.a) to a new record low rate of 4.93% p.a.
• Investor Principal and Interest Standard Variable Rate home loans reduced by 0.19% p.a. to 5.51% p.a.
• Owner Occupied Interest Only Standard Variable Rate home loans reduced by 0.25% p.a. to 5.42% p.a.
• Investor Interest Only Standard Variable Rate home loans reduced by 0.25% p.a. to 5.89% p.a.

CBA will also introduce a new special term deposit offer, with an extra bonus offer for existing pensioner customers.

At 6.30pm NAB announced it will reduce its variable rate home loans by 0.19% per annum, effective 12 July.

This is on top of the 0.25% reduction last month by NAB.

Around 6.30pm Westpac announced it was reducing its variable interest rates for home loan customers, including a reduction of 0.2% p.a for owner occupiers and a reduction of 0.3% p.a. for investors with interest only repayments.

With the same 0.2% last month, Westpac's combined rate cuts of the past two months ranks as the lowest for home loan customers.

The following interest rate changes will come into effect on July 16 at Westpac:

• Variable home loan (owner occupier) rate has been reduced by .20% p.a. to 4.98% p.a. for customers with principal and interest repayments.
• Variable residential investment property loan reduced by .20% p.a. to 5.53% p.a. for customers with principal and interest repayments.
• Variable home loan (owner occupier) rate reduced by .20% p.a. to 5.57% p.a. for customers with interest only repayments.
• Variable residential investment property loan rate reduced by .30% p.a. to 5.79% p.a. for customers with interest only repayments.
   

“Today’s announcement means our Standard Variable Rate (SVR) will be the lowest it has been in more than 45 years for owner occupier home loan customers with principal and interest repayments,” David Lindberg, Westpac Chief Executive, Consumer said.