Citibank has cut its four and five-year fixed rate home loans by 40bp.

Four-year fixed rate loans now sit at 5.39% and five-year loans at 5.59%.

The non-major also cut its three-year fixed rate by 19bp, bringing it down to 4.99%.

The bank’s two-year fixed rate has now been reduced by 20bp to 4.79%, and its one-year rate is now 25bp lower at 4.74%.

Your Mortgage’s home loan calculator shows the reduction on the five-year loan will save mortgage holders about $97 a month for a loan of $400,000 on a loan term of 25 years, compared to the previous rate.