Australia and New Zealand Banking (ANZ’s) has announced that it will lower the interest rate on its standard variable rate home loan by 1% pa following the Reserve Bank of Australia’s decision to reduce the cash rate.
Effective February 13, 2009, the interest rate on Australia and New Zealand Banking’s standard variable rate home loan will decrease by 1% pa to 5.91% pa for new and existing customers. There will also be a 1% pa reduction on the ANZ Simplicity Plus Home Loan which will fall to 5.21% pa. The interest rate for the ANZ Equity Manager line of credit will fall by 0.85%pa to 6.06% pa.
Deposit rates and interest rates for credit cards, personal loans and business lending are under review.
Brian Hartz, CEO of ANZ, said: Funding costs in wholesale markets remain difficult but ANZ understands the current economic environment is placing a strain on many households. We are pleased to be able to pass on the full reduction in the cash rate to our standard variable rate home loan customers. This equates to a reduction of $155.65 each month on repayments for an average $250,000 25-year home loan.
