From January 2012, ANZ bank review its variable home loan and small business interest rates on the second Friday of each month, with any changes to take effect on the following Friday. Here is ANZ bank June rates decision.
ANZ June rates review - rates reduced by 0.25%
Following bank June review, ANZ has decreased it's variable home loan and small business interest rates by 0.25% p.a. These rate cuts are in line with RBA official interest rate cuts made on June 5th.
Effective 15 June 2012, ANZ’s Standard Variable Rate will be 6.80% p.a. (6.90% p.a. Comparison rate^).
The major factors influencing ANZ bank decision were:
- providing stability for mortgage and small business customers;
- ANZ wanted to help relieve some of the pressure faced by home owners and small businesses; and
- ensuring ANZ’s variable rates continue to be competitively positioned in the market.
The 0.25% p.a. decrease will save customers about $13.50 per week for the average home loan of $280,000, while small businesses will save about $6.25 per week for the average business loan of $130,000.
^Comparison Rate calculated on a secured loan amount of $150,000 over a term of 25 years based on monthly repayments.
Big Four Banks Rate Cuts
ANZ bank is the only bank which passed on the full 0.25% rate cut announced by RBA this time. All three other rivals kept back a portion of the cut:
- NAB cut its varaible mortgage rate by 0.21% to 6.78 per cent, effective from June 15.
- Commonwealth Bank cut its standard variable rate by 0.21% to 6.80 per cent, effective from June 18.
- Westpac Bank cut its standard varaible rate by 0.20% to 6.89 per cent, effective from June 18.
As you can see even with the full rate cut ANZ bank's standard variable rate (6.80 per cent) is still not the best among the big four banks.
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