ME Bank slashes home loan rates
Its Super Members Home Loan Standard Home Loan three-year fixed rate has been cut from 6.05 per cent p.a. to 5.39 per cent p.a. (6.24% to 6.05% comparison rates*).
Similarly, the one-year and five-year fixed rates have also been cut to 5.39 per cent p.a. and 5.99 per cent p.a respectively. (6.21% to 6.18% comparison rates*).
This comes in the wake of similar cuts from the Commonwealth Bank – and it has been suggested that this kind of action could create a price war.
Chief executive of ME Bank Jamie McPhee stated that the new offerings from his organisation are the lowest available on the market at the time of launch.
"The decision allows members of industry super funds and unions to lock in the most competitive rates available on the market, giving them security during times of continuing economic uncertainty," the expert remarked.
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*WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest
repayments for $150,000 over 25 years.