Experts back a big rate cut for Christmas
In a poll carried out by the Australian Associated Press, all 18 economists agreed that there was going to be a cut after the December Bank meeting – the only disagreement was how low rates will go.
Eleven predicted that the interest would be pegged back to 4.5 per cent, while others reckoned it could go as low as 4.25 per cent.
The news agency pointed out that average home loan repayments on a $200,000 mortgage could come down from $1790 to $1662 a month if a 75 point cut is enacted.
Meanwhile, celebrity money expert Paul Clitheroe has claimed in an article on thedaily.com.au that the recent rate cuts have helped credit unions reduce the price of car loans considerably, while banks and building societies are also offering some good motor finance deals.