Westpac reduces fixed-rate home loans

Westpac has reduced the interest rate on its fixed home loan products, cutting its three-year package by 15 basis points.

This takes the rates down to 6.44 per cent on the latter package, while the one and two-year options were also reduced, reports ABC News.

A total of 20 basis points were taken from these two products, moving the amount payable by Aussies down to 6.49 per cent.

In recent weeks, the financial institution's chief economist Bill Evans has called on the Reserve Bank of Australia to reduce the cash rate in the country.

He warned that failing to do this could have an adverse impact on employment figures in the nation and suggested that now is an appropriate time to "ease" financial conditions.

Huw McKay, senior economist at the bank, stated that it is time for the central bank to start showing the flexibility it hinted at in the latest set of minutes, reports the Sydney Morning Herald.

Have a question about interest rates? Ask the money gurus at Mozo Answers. ADNFCR-1761-ID-800740782-ADNFCR