New 6.2% pa guaranteed home loan interest rate and insurance bonus from Commonwealth Bank

12 January 2001

The Commonwealth Bank has introduced a new home loan interest rate of 6.2% pa, guaranteed for the first year, together with an added bonus of up to $400 off the cost of home and/or contents insurance with Commonwealth Insurance Limited.

Both the 6.2% pa one year guaranteed interest rate and the bonus $400 insurance premium saving are available from 14 January 2001, for new home and investment home loan customers.

The special one-year guaranteed interest rate of 6.2% pa is 1.87% below the standard variable rate and 0.75% pa lower than the Bank's standard one-year fixed interest rate (as at 14 January 2001).

General Manager, Cards and Personal Financing, Nick Kennett said: "Following recent falls in wholesale market rates, Australia's leading home loan lender, the Commonwealth Bank, is taking the opportunity to offer new customers a low and guaranteed introductory rate, with the security of knowing it won't change for the first year. As well, we're providing up to $400 saving in insurance costs, to help our clients protect their assets.

"Customers can choose to apply the $400 saving to a building, contents or combined insurance policy, and they can take it with the new 6.2%pa guaranteed rate loan or other fixed and variable rate home loans. Whichever combination they choose, valuable savings in home loan interest and insurance costs are available, making it both sensible and easy to have your home loan and insurance with the Commonwealth Bank," Mr Kennett said.

The $400 insurance policy saving is available with all new home loans except the Home Equity Facility and Access Advantage special loan facilities.

The Bank also cut its range of standard fixed home loan rates by up to 0.3% pa on 8 January, with rates reduced to 6.95% pa for its one and three year terms. The Bank's variable home loan interest rates remain unchanged.