 NAB cut home loan rates for some
National Australia Bank may not be helping out it's direct home loan customers with any rate cuts but from April 17 cuts will apply to borrowers of its broker-distributed Homeside products. All variable products as well as the HomePlus Home Loan Special Offer will be reduced by 0.10%.
Speaking of the decision, NAB Broker executive general manager, Matt Lawler said the lender had taken a "prudent approach to interest rates while still delivering a compelling solution for brokers and their clients".
However, Lawler warned brokers to look at interest rates long term when advising clients.
"In particular at this point in the interest rate cycle, the decision whether to take a fixed, variable or mixed option is an important consideration," he said.
"In our experience, fixed rate pricing typically bottoms prior to or simultaneously with variable rate pricing, rather than after variable rates begin to rise."
On 7 April the Reserve Bank cut official interest rates by 0.25% bringing the cash rate down to 3 per cent, the lowest level since 1960.
Other banks to cut rates by just 0.1 per cent are the Commonwealth, who was first to announce on Tuesday. Then ANZ, St George and Westpac also cut rates by 0.1 per cent. NAB has not cut their home loan rates.
The RBA had cut rates every month since September, but in March decided to leave rates on hold. Following today's April meeting the bank decided to lower the cash rate from 3.25 per cent down to 3 per cent, a 49-year low.
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