 Interest rate changes
Data from the Reserve Bank shows Australians owe nearly $45 billion on their credit cards with some incurring interest charges of up to 20 per cent - nearly five times the official cash rate. Mr Swan said the Labour government would put pressure on the banks.
"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.
The ANZ Bank has come out in defence, saying that some credit cards will get rate cuts from next week. It will make cuts of one per cent to the ANZ First and ANZ Gold cards, bringing the rates down to 18.24 per cent. The rates on its Rewards and Frequent Flyer Visa cards will drop to 18.99 per cent.
Mr Swan also wants the full one per cent cut to apply to home loans. Following the RBA cutting official rates by 100 basis points, only three lenders passed on the rate cut in full. Non-bank lenders Aussie home loans, The Commonwealth Bank and National Australia Bank all cut standard variable rates by 100 basis points. Other lenders only cut rates by 80 basis points or 85 basis points.
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