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AUSSIE Home Loans today moved to lower its variable interest by 50 basis points - representing a saving of $125 a month on a $300,000 mortgage. The interest rate on Aussie's variable rate home loan will fall by 0.5 per cent to 8.05 per cent for new and existing customers. Aussie's basic variable rate has also been cut by 0.5 per cent to 7.59 per cent. Both changes will come into effect for new customers on October 29 and existing customers on November 10. The cuts follows Aussie's move last week to drop its basic variable rate for first home buyers and all fixed rate loans, with the one-year fixed rate dropping 1.7 per cent to 6.79 per cent. Aussie executive chairman John Symond said the company was keen to restore consumer confidence in uncertain economic times. "I believe consumers need all the help they can get at the moment," he said. "They also need confidence because of all the bad news coming out from the global financial fallout." Mr Symond said Aussie anticipated further official cash rate cuts in light of the world financial crisis. "We are confident that rates are going to continue to tumble. "I do believe that rates by Easter will probably be another one or one-and-a-half per cent cheaper than they are today." |
