Australia’s fifth largest bank, ING, has announced its cutting home loan interest rates by 0.15 per cent.
The bank’s interest rates will drop for both new and existing customers and will be effective from October 16.
The cuts take ING’s lowest variable interest rate for new customers to 2.99 per cent, for home loans over $1 million, and 3.03 per cent for loans under $1 million.
In total, 26 lenders have announced rate cuts for their customers three days after the Reserve Bank cut the official cash rate to 0.75 per cent.
The average interest rate reduction across the owner-occupier home loan market is currently 0.17 per cent and just five lenders are passing on the full 0.25 per cent RBA cut.
RateCity.com.au chief executive, Paul Marshall, said there are still dozens of lenders yet to announce what cuts they’ll make.
“After the July RBA cut almost 50 lenders had announced rate drops by Friday, but today we’ve seen about half that amount.”
“With the cash rate now below one per cent, banks are cautiously considering what to pass onto home loan customers, while still appeasing shareholders and savers.”
“If your bank hasn’t declared their hand, you should call, email or even tweet them into action.”
“So far, a vast majority of lenders are passing on cuts of 0.15 per cent or less, which would likely be a disappointment to their loyal customers.”
For a full list of who’s cut and by how much go to RateCity’s live rate cut list