Changes to Variable Home Loan and Investment Home Loan Interest Rates

Tuesday 3 May 2016

Today we announced that we will be decreasing the interest rate for our variable Home Loans and Investment Home Loans by 0.25% p.a.

For a variable rate home loan of $350,000 this change will save our customers around $55 a month.

Product

New Rate

Change

Comparison Rate

Effective Date

(p.a.)

(p.a.)

(p.a.)

Variable Rate Owner Occupied Home Loans

 

 

 

 

Standard Variable Rate

5.35%

-0.25%

5.50%

20/05/2016

12 Month Discounted Variable Rate

4.65%

-0.25%

5.43%

20/05/2016

Base Variable Rate (Economiser)

4.89%

-0.25%

5.04%

20/05/2016

Base Variable Rate (3 Year Special Economiser)

4.04%

-0.25%

4.68%

20/05/2016

No Fee Variable Rate

4.65%

-0.25%

4.65%

20/05/2016

Extra Variable Rate

4.65%

-0.25%

4.76%

20/05/2016

Extra Variable Rate (2 Year Introductory Rate)

4.09%

-0.25%

4.57%

20/05/2016

Variable Rate Investment Home Loans

 

 

 

 

Investment Home Loan Standard Variable Rate

5.62%

-0.25%

5.76%

20/05/2016

Investment Home Loan 12 Month Discounted Variable Rate

4.92%

-0.25%

5.69%

20/05/2016

Investment Home Loan Base Variable Rate (Economiser)

5.16%

-0.25%

5.31%

20/05/2016

Investment Home Loan Base Variable Rate (3 Year Special Economiser)

4.24%

-0.25%

4.93%

20/05/2016

Investment Home Loan No Fee Variable Rate

4.92%

-0.25%

4.92%

20/05/2016

Investment Home Loan Extra Variable Rate

4.92%

-0.25%

5.03%

20/05/2016

Investment Home Loan Extra Variable Rate (2 Year Introductory Rate)

4.36%

-0.25%

4.84%

20/05/2016

VLOC - Residential Equity Rate

5.73%

-0.25%

N/A

20/05/2016

Equity Unlock Loan for Seniors

6.50%

-0.25%

6.58%

20/05/2016

MISA Standard Variable Rate

5.35%

-0.25%

N/A

20/05/2016

MISA – 12 Month Discounted Variable Rate

4.65%

-0.25%

N/A

20/05/2016

Investment Home Loan MISA Standard Variable Rate

5.62%

-0.25%

N/A

20/05/2016

Investment Home Loan MISA - 12 Month Discounted Variable Rate

4.92%

-0.25%

N/A

20/05/2016

 

As Australia’s largest home lender, we’re committed to offering competitive pricing for home loan customers.Important Information: Interest rate cut on variable rates effective 20/05/2016. Saving is calculated on a total home loan value of $350,000, over a 30 year term. Repayments reduced at customer request. Comparison rates calculated on a $150,000 secured loan over a 25 year term. WARNING: These comparison rates are true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in different comparison rates. To be eligible for Wealth Package, you must have a current home loan or line of credit with an initial ‘total home lending balance’ of at least $150,000 when you apply for Wealth Package. The package can only be established under one individual’s name or in the name of a corporate entity. It cannot be established in joint names or in the name of a business or family investment trust. The current annual package fee is $395, and this will be debited to a nominated Commonwealth Bank transaction account or Commonwealth Bank Credit Card. Customers with Low Doc Loans are not eligible to apply for Wealth Package. Package benefits are only available while you have a current home loan or line of credit facility and have paid the annual package fee.

Frequently Asked Questions 

What was announced?

* The Reserve Bank of Australia (RBA) has reduced the cash rate by 0.25% to 1.75%.

* Commonwealth Bank has carefully considered the impact of the current economic environment and moved to balance the needs of our customers and shareholders.

* Commonwealth Bank has reduced interest rates on our Standard Variable Rate (SVR) products by 0.25% per annum effective Friday 20 May 2016:

   * Owner occupier Standard Variable Rate (SVR) mortgages reduced by 0.25% to 5.35%;

   * Investor Standard Variable Rate mortgage reduced by 0.25% to 5.62%;

   * Standard variable business rate for small business owners reduced by 0.25%.

   * Fixed rates remain unchanged

QUESTIONS

Will my repayments be automatically reduced after Commonwealth Bank’s decision to lower the standard variable rate mortgage?

* Your repayments will not be automatically reduced. To reduce your repayments, you should complete a ‘Change my loan repayment’ request in Netbank, or contact 132224 from 8am to 8pm from Saturday 21 May 2016.

I am unsure if my home loan product remains appropriate for my needs.

* If you are unsure if your original home loan product remains the most appropriate for your needs, please speak with your Lender who can conduct a Financial Health Check and assess the product(s) best suited for your needs. Please visit one of our branches or call 132224.