Source: Wikimedia Commons.
  • ANZ cuts variable rate to 2.99% across all loan amounts
  • First of the big four banks to cut variable rates since September last year
  • Other banks are likely to follow

ANZ is the first of the big four banks to cut its variable package rate by up to 90 basis points since September last year (in contrast to competition between the big four banks in cutting fixed rates multiple times).

ANZ’s old rates were tiered according to the size of the loan, ranging from:

  • 3.89% for loans between $150,000 and $249,000;
  • 3.59% for loans between $250,000 and $499,000;
  • 3.49% for loans of $500,000.

ANZ now offers a variable package rate of 2.99% across all loan amounts and is available on loans with a loan-to-value ratio of less than 80%.

This variable rate is now the lowest among the big four banks, with Westpac’s rate being 3.19%, NAB’s on 3.67%, and the Commonwealth Bank’s on 3.85%.

“The decrease from ANZ is being passed on to new borrowers by way of increasing the discount applied to its standard variable rate and will not be passed on to existing borrowers.”

Steven Mickenbecker, Canstar Group Executive, Financial Services

“ANZ now offers the lowest package rate among the major banks and it would not be surprising to see others moving down the same path.”

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