ANZ the only big four bank to cut variable home loan rates
ANZ is the only bank in the big four to cut variable home loan rates in this latest cut.
They reduced rates by 0.15 basis points.
As a result of today’s changes, ANZ’s variable rate home loan customers will save approximately $34 a month or $406 a year. This is based on an owner occupier with a $400,000, 30-year loan paying principal and interest on the discounted variable rate on the minimum repayment.
The move follows on the back of the recent RBA rate cut during their emergency March 19 meeting where they reduced the cash rate to a record low 0.25%.
ANZ have also introduced a two-year fixed rate of 2.19% p.a for owner occupiers paying principal & interest.
Like NAB they have made it possible to request a deferral of home loan repayments for up to six-months.
ANZ CEO Shayne Elliott said the package aimed to support Australian business and the people who work for them.
"We understand the impact this crisis is having and ANZ will play a major role in backing Australia's economy and our customers through these challenging times," he said.
"We have been working with both the Federal Government and our regulators to keep money flowing through the economy and we'll do all we can to keep businesses afloat and Australians employed, as well as reducing the financial pressure on households."
"Our decision to reduce variable home loan and small business rates is the right thing to do for our existing customers, particularly the significant number of our home loan customers who are self-employed and managing the effects of the COVID-19 crisis on their own businesses."
"The highly competitive fixed-rates being offered will provide customers certainty over repayments with our lowest fixed-rates on record."
RateCity.com.au research director Sally Tindall said the bank was providing relief for most of its borrowers.
"It's great to see ANZ has stepped up and delivered something for the majority of its borrowers to help them through these turbulent times," she said.
"In this economic climate, every dollar counts.
"When these changes come into effect, ANZ will have the lowest ongoing variable rate from the big four banks at 2.72 per cent," she said.
"Now three of the four big banks are offering fixed rates as low as 2.19 per cent, we're likely to see other lenders chase after them, potentially cutting fixed rates even further," she said.
