Non-major banks and online lenders have announced variable rate changes after the Reserve Bank of Australia decided to cut the official cash rate for the second consecutive month, bringing it to 1%.
Athena said it will pass the entire rate cut, bringing its owner-occupier variable rates to 3.09% and investor variable rates to 3.49%. The lender will be rewarding borrowers 0.01% loyalty bonus discount for each of the first five years of making repayments.
Reduce Home Loans also announced that it will be passing the rate cut in full, bringing its variable interest to 2.89%, one of the cheapest rates in the market.
ME Bank cut the rates for all its existing variable home-loan customers by 0.15%, after passing the previous rate cut in full.
"In setting interest rates, ME considers the needs of all stakeholders while ensuring the pricing of all products remains sustainable," the bank said in a statement.
The big four banks have announced their respective rate cuts after the Reserve Bank of Australia decided to cut the official cash rate for the second consecutive month, bringing it to 1%. Of the four banks, only ANZ will be passing the cut to its borrowers in full.