Yesterday saw ANZ to be the first of the big banks to pass on the full interest rate cut to its variable rate customers.

Later that day NAB, ING Direct and Commonwealth Bank followed. Westpac waited until the evening to announce their intention. I expect all the second tier banks and other lenders to follow.

Obviously, from this behaviour I expect that we will not see full interest rate cuts in the future or interest rate increases outside the Reserve Bank of Australia’s recommendations.

We will keep you updated when the lenders will be passing on the interest rate cuts and the new standard variable rates for each bank and lender.

NAB announced that it will pass on the full 0.25% rate cut to its customers following ANZ earlier today.

We are now waiting on the two other major banks and 30 or so other lenders to make their announcements.

We will also keep you updated on when they will be passing on these rate cuts.

If you need help with your mortgage please contact us

ANZ announced today that they will pass on the full 0.25% rate cut to its variable mortgage rate customers.

This may force the other banks to follow suite.

As always we will keep you updated as the news from the other banks and lenders come through.

The Bank of Queensland announced today that they will pass on the full 0.25% interest rate cut but what’s the catch.

The catch is they will not reducing their interest rates until the 16th December and this will bring their standard variable rate to 7.36%.

Assuming that the other banks and lenders pass on the full rate cut there are much better offers.

If you would like to compare your mortgage to hundreds of other loans complete the contact form below to speak to one of  our licence mortgage brokers. A 0.25% difference on a mortgage of $300,000 will save you $750 yearly.

The Reserve Bank of Australia cut interest rates from 4.50% to 4.25% today.

This may seem to be an early Christmas present for mortgage holders but there are rumors that the banks will not pass on the full rate cut. So here we go again. Let us wait and see what ANZ, NAB, Westpac, Commonwealth Bank, ING Direct and the other lenders do. As always we will keep you updated on the following in the next coming weeks;

- which banks passed on the full rate and those who did not
- when the banks will be passing on the interest rate cut. This usually ranges from 3 and 28 days
- new loan discounts for fixed and variable mortgage rates

The RBA are on holiday over the Christmas period and their next meeting is at February 2012.

If you have any questions about your home, investment or commercial loan please do not hesitate to contact us for free advice or go to our mortgage website.

Since the last interest rate cut, home loan interest rates have come down. Fixed interest rates are also falling and for the first time in 2 years we see a 2 year fixed rate fall below 6%.

Below are some of the better interest rates from various lenders around Australia that include ANZ, NAB, Westpac, Commonwealth Bank, ING Direct, Bank West and many more.

Basic Variable – 6.66

Variable Offset – 6.55%

2 Year Fixed – 5.99%

3 Year Fixed – 6.20%

3 Year Fixed – Interest in Advance – 6.05%

5 Year Fixed – 6.39%

Low Doc -  6.66%

Line of Credit -  6.63%

If you would like to take advantage of speaking to one of our professional mortgage specialists to discuss which home loan or investment loan suits your needs please complete the form below.

Having been in the mortgage industry for just over 6 years I have seen home loan interest rates rise and fall. One of the most common observations is that banks are slower to pass on a rate cut compared to when interest rates rise.

The table below shows that there is a 24 day difference between banks passing on the interest rate cut. Commonwealth Bank was the quickest to pass on the recent rate cut 3 days after it was announced. The worst offenders are Bendigo Bank and Adelaide Bank making their customers wait until  the 28th November before they get some relief.

NAB are waiting intil the 11th to pass on the cut while ANZ and Westpac are letting their customer wait 2 weeks until they recieve relief. In a funny move BankWest are reducing their interest rates on the 14th of November but they are letting their Rate Tracker and Rate Tracker Ultra customers wait until the 18th. They say it is apart of their terms and conditions for these products.

Current Bank Interest Rates

Please Note: The rates above are each banks standard variable rate. There are many other loans and discounts available from these lenders

Obviously, the strategy of delaying interest rate decreases and passing on rate increases quickly is all about profit making. All banks and non banks are guilty of this practice and there is not much the consumer do about it but vote with their feet.

If you are interested in getting a FREE HOME /INVESTMENT LOAN CHECK from an ASIC liscenced broker in your local area, feel free to complete the contact form below. They will compare your mortgage against hundreds or other loans to see if you are over paying on interest repayments and fees.

Smart Search Finance has an interest calculator as well as many other mortgage calculators that calculate mortgage interest repayments. Below is a list and links to some of the home loan interest calculators we have on the website.

Mortgage Repayment Calculator – Basic mortgage calculator that calculates monthly mortgage repayments, interest payments and total costs. Monthly, fortnightly, weekly and interest only repayments options available.

Interest Only Mortgage Calculator – Calculates the interest only for weekly, fortnightly and monthly repayments. Includes interest only period and total amount paid during the interest only period.

There are many other mortgage calculators on the website

Update: ANZ reduces its variable mortgage rates by 0.25% and in a surprise NAB reduces rates by 0.20%. Despite not passing on the full interest rate cut NAB still has the lowest standard variable rate amongst the big four banks.

As predicted interest rates were reduced by 0.25% yesterday giving borrowers a reprieve before Christmas. The rate reduction meet instant reaction from Westpac and Commonwealth Bank announcing that they will pass on the full rate cut. ANZ and NAB have not made announcements but we expect them to do the same. NAB may even go even further since they have been the most aggressive amongst the big four in keeping interest rates lower than its competitors.

The recent rate reduction means that the average mortgage holder will save approximately $700 to $800 annually on interest repayments. Fixed rates still remain below most variable rate loans and there are some good bargains out there. Some economists are predicting further cuts but it seems rates will be on hold until after Christmas unless a major economic catastophy happens.

To see indicative home, investment and commercial loan rates please visit our main site Smart Search Finance. These will be updated in the coming days as lenders pass on the rate cut.

Smart Search Finance has a network of  ASIC licenced Mortgage Brokers that are experts in home, investment and commercial loan solutions. All of our brokers deal with the major banks as well as many other lenders.  They can help you compare loans, negotiate better interest rates and find loans that you may never have considered.

Please complete the form below if you would like to speak to one of our brokers in your local area.

Interest rates remain on hold at 4.75% this month after the Reserve Bank of Australia made their decision yesterday afternoon.

Later that day Commonwealth bank further reduced its 1 and 3 year fixed rates from the previous month. It looks like other lenders are to follow as the weeks go by. I will keep you updated with the latest fixed rate offerings over the coming weeks otherwise contact one of our mortgage brokers.

Fixed rate falls also suggest that the variable rate is likely to drop in the coming months and some economists are predicting an interest rate reduction before Christmas. Economists predictions should be taken with a grain of salt. Short term predictions – 6 months of less - are often accurate but beyond 6 months making predictions is just like gambling.