BankSA said it will cut its standard variable interest rate to 5.89 per cent from February 13. The bank is the latest lender to pass on the Reserve Bank's one per cent rate cut to home owners.
BankSA followed the Big Four - Westpac, ANZ, National Australia Bank and Commonwealth Bank - by cutting home loan rates by 100 basis points. St George has also cut standard variable home loan rates by 1 per cent.
"We're committed to ensuring we have a competitive offering for our customers at all times,'' said BankSA general manager Chris Ward.
Yesterday the Reserve Bank of Australia cut official interest rates by 1% following reports that unemployment in Australia is set to rise to 7% and a report from the International Monetary Fund that world economies were stalled.
All major banks announced they would pass on the rate cut in full. Westpac and ANZ announced 100 basis point cuts to their standard variable home loan rates yesterday, taking their standard variable home loan rates to 5.91 per cent.
NAB and CBA will cut their standard variable home loan rates to 5.74 per cent. St George will lower their standard variable home loan interest rate by the full one percentage point to 5.89 per cent.
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