Swan calls for credit card cuts

Although some banks have been quick to pass on rate cuts on low-interest home loans, Federal treasurer Wayne Swan wants to know why there aren’t more cheap credit cards on the market.

He has called on banks to offer up their explanations as to why the recent rate swipes haven’t hit the credit card industry, with some cards demanding 20 per cent APR.

“If they think they have a reason not to pass them on, they should explain themselves, not just to me, to their customers,” he told reporters.

Australian Associated Press reports that ANZ has been quick to refute claims that it is dodging its rate cut responsibilities, insisting that it will be offering more cheap credit cards from the end of next week.

The First and Gold credit cards will both be coming down, while other plastic offers will remain under review, a spokesman said.

The call for cheaper credit follows another rate slash enacted by the Reserve Bank, which lopped 100 basis points off the base at the start of this week.ADNFCR-1761-ID-18910769-ADNFCR