ING to cut fixed home loan rates by up to 60 basis points
One week on from the Reserve Bank’s November rate cut, ING has announced that it will be reducing rates on a number of its fixed home loans by between 5 and 60 basis points.
The changes, which come into effect this Friday (November 13), mean that the online banks’ lowest interest rate will drop to just 1.99% (3.43% comparison rate*) on a 4-year fixed term for owner occupiers.
Here’s what the new rates^ available on ING’s Fixed Rate Loan (Owner Occupiers with Orange Advantage) product for owner occupiers with an LVR below 80% will look like:
Rate | Change | |
1-year fixed | 2.19% (3.95% comparison rate*) | -0.15% |
2-year fixed | 2.09% (3.77% comparison rate*) | -0.10% |
3-year fixed | 2.04% (3.60% comparison rate*) | -0.30% |
4-year fixed | 1.99% (3.43% comparison rate*) | -0.60% |
5-year fixed | 2.19% (3.37% comparison rate*) | -0.40% |
To put ING’s new 4-year fixed rate into perspective, the average 4-year fixed rate for an owner occupier in the Mozo database was 2.90% at the start of this month - so a full 101 basis points higher.
However, given that lenders have been particularly focused on fixed rate home loan cuts since the RBA decision - at least so far - our average rates are likely to drop in the coming weeks.
While ING’s decision to cut fixed rates may be welcome news to refinancers or new borrowers, existing customers with a variable rate home loan may be less thrilled. That’s because the bank also revealed that there would be no changes to variable rates.
ING isn’t alone in failing to pass on the Reserve Bank’s 15 basis point cut to variable rate customers though - none of the big four passed on the latest cut, nor did a number of other large lenders.
In fact, at the time of publishing, just nine lenders being tracked in the Mozo database have so far announced a variable rate cut of at least 15 basis points.
RELATED: November RBA cut: Which banks have cut home loan rates?
Interested in locking in your mortgage rate? Check out some of the great fixed rate offers in the table below, or head on over to the Mozo home loan comparison hub for even more deals!
^It’s worth noting that ING has stated that these new fixed rates will be available for home loans which are settled between November 13 and January 31, 2020.
Compare fixed home loans - rates updated daily
Special Offer Fixed Rate Home Loan
Owner Occupier, Principal & Interest
interest rate
comparison rate
Initial monthly repayment
1.99% p.a.
fixed 3 years2.70% p.a.Special Offer Fixed Rate Home Loan
Limited time 3 Year Fixed Rate Special Offer for purchase or refinance. Rate lock option available. No monthly or ongoing fees.
- interest rate
- 1.99% p.a.
fixed 3 years
- comparison rate
- 2.70% p.a.
- upfront fees
- $520
- Ongoing fees
- $0.00
- Discharge Fee
- $0.00
- Extra repayments
- yes - free up to $10,000 p.a.
- Redraw facility
- no
- Offset account
- no
- Maximum loan to value ratio
- 80.00%
- minimum borrowing amount
- $50,000
- maximum borrowing amount
- $1,000,000
- type of mortgage
- Fixed
- Repayment types
- Principal & Interest
- Availability
- Owner Occupier
- Repayment options
- Weekly, Fortnightly, Monthly
- Special Offers
- -
Read our Mozo Review to learn more about the Special Offer Fixed Rate Home Loan
UHomeLoan
Owner Occupier, Principal & Interest
interest rate
comparison rate
Initial monthly repayment
1.75% p.a.
fixed 3 years2.22% p.a.UHomeLoan
$0 fees and easy application. Choose between weekly, fortnightly or monthly repayments. 3 year fixed rates are for new Owner Occupier Principal & Interest loans.
- interest rate
- 1.75% p.a.
fixed 3 years
- comparison rate
- 2.22% p.a.
- upfront fees
- $0
- Ongoing fees
- $0.00
- Discharge Fee
- $0.00
- Extra repayments
- yes - free up to $20,000 p.a.
- Redraw facility
- no
- Offset account
- no
- Maximum loan to value ratio
- 80.00%
- minimum borrowing amount
- $100,000
- maximum borrowing amount
- $2,000,000
- type of mortgage
- Fixed
- Repayment types
- Principal & Interest
- Availability
- Owner Occupier
- Repayment options
- Weekly, Fortnightly, Monthly
- Special Offers
- $395 Establishment fee waived for fixed rate loans that settle by 30 September 2022. Receive 1.75% 3 year fixed rate when you apply by 29 April 2021 and settle within 90 days.
Read our Mozo Review to learn more about the UHomeLoan
Basic Home Loan
Fixed, Owner Occupier, Principal & Interest, LVR<70%
interest rate
comparison rate
Initial monthly repayment
2.09% p.a.
fixed 3 years2.43% p.a.Basic Home Loan
Get a flexible loan structure with up to six loan accounts with different rate types. Make free extra repayments. Enjoy free redraw facility. No upfront or ongoing fees. Option to earn Qantas points.
- interest rate
- 2.09% p.a.
fixed 3 years
- comparison rate
- 2.43% p.a.
- upfront fees
- $0
- Ongoing fees
- $0.00
- Discharge Fee
- $400.00
- Extra repayments
- yes - free
- Redraw facility
- yes - free
- Offset account
- no
- Maximum loan to value ratio
- 70.00%
- minimum borrowing amount
- $150,000
- maximum borrowing amount
- $750,000
- type of mortgage
- Fixed
- Repayment types
- Principal & Interest
- Availability
- Owner Occupier
- Repayment options
- Monthly
- Special Offers
- -
Read our Mozo Review to learn more about the Basic Home Loan
Special Fixed Rate Home Loan
Owner Occupier, Principal & Interest
interest rate
comparison rate
Initial monthly repayment
1.89% p.a.
fixed 2 years3.67% p.a.Special Fixed Rate Home Loan
Great fixed low rate. Ability to split your loan between fixed and variable. Insurance discounts and $0 credit card or personal loan fee available. $2,000 cashback offer for investor & owner occupied home loans over $250k with LVR ≤80% when refinancing to Newcastle Permanent. Enjoy local branches and call centre.
- interest rate
- 1.89% p.a.
fixed 2 years
- comparison rate
- 3.67% p.a.
- upfront fees
- $0
- Ongoing fees
- $395.00 yearly
- Discharge Fee
- $0.00
- Extra repayments
- yes - free up to $25,000 p.a.
- Redraw facility
- yes - free
- Offset account
- no
- Maximum loan to value ratio
- 80.00%
- minimum borrowing amount
- $5,000
- maximum borrowing amount
- -
- type of mortgage
- Fixed
- Repayment types
- Principal & Interest
- Availability
- Owner Occupier
- Repayment options
- Weekly, Fortnightly, Monthly
- Special Offers
- $2,000 cashback when you refinance your home loan from another financial institution when you apply by 30 June 2021 and are funded by 31 August 2021, min $250k, LVR
Read our Mozo Review to learn more about the Special Fixed Rate Home Loan
Fixed Rate Home Loan
Owner Occupier, Principal & Interest, LVR <80%
interest rate
comparison rate
Initial monthly repayment
1.88% p.a.
fixed 2 years2.86% p.a.Fixed Rate Home Loan
Ability to split your home loan between Fixed and Variable. Dedicated Relationship Manager. Refinancers borrowing $250,000 or more will receive $3288 (T&Cs, eligibility and lending criteria apply).
- interest rate
- 1.88% p.a.
fixed 2 years
- comparison rate
- 2.86% p.a.
- upfront fees
- $270
- Ongoing fees
- $390.00 yearly
- Discharge Fee
- $300.00
- Extra repayments
- yes - free up to $10,000 p.a.
- Redraw facility
- no
- Offset account
- no
- Maximum loan to value ratio
- 80.00%
- minimum borrowing amount
- $500,000
- maximum borrowing amount
- $7,500,000
- type of mortgage
- Fixed
- Repayment types
- Principal & Interest
- Availability
- Owner Occupier
- Repayment options
- Weekly, Fortnightly, Monthly
- Special Offers
- Receive $3,288 when you refinance a minimum of $250k for applications from 15 Feb to 30 April 2021, settled by 30 June 2021.
Read our Mozo Review to learn more about the Fixed Rate Home Loan
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