Commonwealth Bank cuts fixed home loan interest rates

The Commonwealth Bank has reduced its home and investment home loan fixed interest rates by up to 0.2% pa, effective from Wednesday 15 May for new loans. The Bank's two year fixed rate becomes, at 6.29% pa, the lowest offered by the major banks and is now below the standard variable rate.

The new fixed home loan interest rates are:

Term Now Change on previous fixed rate
1 yr fixed 6.19% pa No change
2 yr fixed 6.29% pa down 0.20% pa
3 yr fixed 6.59% pa down 0.20% pa
4 yr fixed 6.99% pa down 0.10% pa
5 yr fixed 7.29% pa No change

Head of Personal Financing, Lyndell Fraser said: "As the nation's major home loan lender, the Commonwealth Bank has taken the opportunity to offer these new, highly competitive fixed rates, prompted by increased customer interest in fixing their loan repayments. The rates will ensure that real savings are available to our home loan and investment home loan customers".