ANZ is cutting rates following RBA move: When will yours drop?

The change will see 25 basis points wiped from the interest rates paid by ANZ variable-rate home loan holders.

The 10-day lag between the RBA's announcement and ANZ's implementation is consistent with its approach to both the February and May cuts this year, and aligns with the timelines adopted by many major banks.

It's expected that ANZ's lowest advertised variable rate will drop from 5.75% p.a. to 5.50% p.a. – available on the app-based ANZ Plus home loan product to eligible refinancers.

For a borrower with a $500,000 loan over 30 years, that cut could reduce monthly repayments from around $2,920 to $2,840 – a difference of approximately $80 a month or $960 a year.

"We’re pleased to reduce our variable home loan rates at a time when a number of homeowners still need some extra breathing room," ANZ acting group executive of Australian retail Bruce Rush said.

"As we pass on further rate relief to our customers, some will use it to help take the pressure off their everyday expenses, while others will take the opportunity to keep their existing repayments and get ahead on their home loan."

ANZ joins CommBank and Westpac in announcing its intention to pass on the RBA savings to variable rate borrowers in full.

What could a rate cut mean for your wallet? Mortgage Repayment Calculator

However, variable rate ANZ home loan holders hoping to ease their back pocket pain must request the bank to reduce their repayments in order to realise savings.

If they don't, they'll find themselves effectively making extra repayments.

This can help to repay their home loan faster and minimise interest costs over time, but won't provide any immediate budget relief. 

See how other lenders are responding to the RBA's August rate cut: Your Mortgage live coverage

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Lender	Home Loan	Interest Rate	Comparison Rate*	Monthly Repayment	Repayment type	Rate Type	Offset	Redraw	Ongoing Fees	Upfront Fees	Max LVR	Lump Sum Repayment	Extra Repayments	Split Loan Option	Tags	Features	Link	Compare	Promoted Product	Disclosure
loans.com.au	loans.com.au Variable Home Loan P&I <90%	5.29% p.a.	5.33% p.a.	$2,773	Principal & Interest	Variable			$0	$530	90%				Owner Occupier Variable Principal & Interest 10% Min Deposit Redraw Extra Repayments More details	Available for purchase or refinance, min 10% deposit needed to qualify. No application, ongoing monthly or annual fees. Dedicated loan specialist throughout the loan application.	Go to site	Compare	Promoted	Disclosure
Unloan	Unloan Variable Rate Home Loan LVR < 80%	5.19% p.a.	5.10% p.a.	$2,742	Principal & Interest	Variable			$0	$0	80%				Built and funded by CommBank Owner Occupier Variable Principal & Interest 20% Min Deposit Redraw More details	A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.	Go to site	Compare		Disclosure
loans.com.au	loans.com.au Variable Home Loan with Offset P&I <90%	5.39% p.a.	5.43% p.a.	$2,805	Principal & Interest	Variable			$0	$530	90%				Owner Occupier Variable Principal & Interest 10% Min Deposit Offset Redraw Extra Repayments More details	Available for purchase or refinance, min 10% deposit needed to qualify. No application, ongoing monthly or annual fees. Quick and easy online application process.	Go to site	Compare	Promoted	Disclosure

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