Last week the Reserve Bank of Australia (RBA) made the record-breaking decision to cut the official cash rate by 25 basis points to 1.50 per cent.
It was the first move since May and experts believe the cut was precipitated by weak June quarter inflation data and a high Australian dollar.
The Commonwealth Bank was the first of the majors to respond to the rate cut, reducing its Standard Variable Rate by 0.13 per cent. It wasn’t long before the others followed.
“In light of the RBA’s announcement last week, some banks have passed on the full rate cut, bringing their investment rates down to a low 4.00 per cent variable and 3.89 per cent fixed for two years,” says Custom Financial Solutions Finance Manager Marg Kudla. “Owner occupied rates are down to 3.75 per cent variable and 3.59 per cent fixed for three years.”
If your rate is above 4 per cent, Marg suggests giving her a call. “Last week we saved one client $1884 a year and another $2568 a year in mortgage repayments. Imagine what you could do with the extra cash,” she says.
Take advantage of these record-breaking rates and contact Marg Kudla from Custom Financial Solutions by email or by calling 9315 9343.