ANZ the only big four bank to cut variable rates for existing customers

The fourth largest lender ANZ has bucked the trend, announcing they will cut variable rates for both new and existing home loan customers by 0.15 per cent.

ANZ is also:

• cutting its 2-year fixed home loan rate by 0.49 per cent for owner occupiers paying principal and interest; and -
• allowing customers experiencing financial difficulty to defer home loan payments by up to six months.

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.

ANZ variable rate changes for owner occupiers paying principal and interest

Effective 27 March

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.

Big four bank variable rates – state of play

Note: Rates are for owner-occupier paying principal and interest on a $400K loan. Some rates are yet to come into effect.

Big four bank lowest fixed rates – state of play

Note: Rates are for an owner-occupier paying principal and interest. Westpac’s rates are for an LVR of 70% or lower. NAB’s 2-year rate of 2.19% is for first home buyers and 2.29% for other owner occupiers. Some rates are yet to come into effect.

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