Rate Alert: Another lender cuts variable rates ahead of RBA

Rate Alert: Another lender cuts variable rates ahead of RBA

Australia’s fifth largest lender ING has announced cuts to its variable rate home loans.

This comes six days ahead of the Reserve Bank board meeting, where it’s widely tipped the cash rate will be cut to 1.25 per cent.

ING is cutting by 0.17 per cent across all owner-occupier rates for new customers with a deposits of at least 20 per cent, effective from tomorrow.

For customers with home loans under $1 million, the basic rate will drop to 3.63 per cent and the package rate will be 3.68 per cent.

The ING cuts follow on the heels of Mortgage House’s decision to slash its lowest variable rate to 3.29 per cent last week, pre-empting an RBA cut.

RateCity.com.au research director Sally Tindall said it’s likely other lenders will also cut rates ahead of Tuesday’s meeting.

“With a rate cut very much on the cards, some lenders are getting ahead of the game to try to lure in new business,” she said.

Product

Cut

New Rate

Mortgage Simplifier ($150K-$999,999)

-0.17%

3.63%

Mortgage Simplifier ($1m+)

-0.17%

3.59%

Orange Advantage ($150K-$999,999)

-0.17%

3.68%

Orange Advantage ($1m+)

-0.17%

3.64%

Note: Rates effective 30 May, 2019. Rates are for new owner-occupier customers paying principal and interest with at least a 20 per cent deposit.

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