ANZ today announced it will lower interest rates for variable rate mortgages by 0.27%pa following its monthly interest rate review.
Effective Friday 17 May, ANZ’s standard variable rate will be 6.13%pa (6.23%pa comparison rate). The 0.27%pa decrease will save customers about $60 per month or $750 per year for the average home loan of $280,000.
ANZ CEO Australia Philip Chronican said: “This month we reviewed a range of factors including the Reserve Bank’s decision to decrease the official cash rate this week, our competitive position and a recent easing in the cost of our wholesale funds.
“While competition for deposits remains strong, our overall funding cost position has allowed us to reduce variable mortgage rates by 0.27%pa.
“This decision reflects ANZ’s approach to reviewing retail lending rates each month which includes an assessment of our overall funding costs and I’m pleased our mortgage customers will see a benefit this month,” Mr Chronican said.
ANZ also said that variable rates for small business lending would decrease by 0.25%pa.