Heritage, CUA, Auswide, Horizon slash home loan rates

It was another fairly busy week for customer-owned banks, as Heritage, CUA, and Auswide all cut home loan rates by up to 45 basis points.

Heritage Bank interest rate cuts

Heritage cut a wide variety of home loan interest rates by up to 19 basis points this week. Some of the key ones were:

• Home Advantage Investment Variable P&I <80% 150k+: 19 basis point cut to 2.99% p.a. (3.38% p.a. comparison rate*)
• Home Advantage Owner Occupier Variable 90% $700k+: 9 basis point cut to 2.99% p.a. (3.38% p.a. comparison rate*)
• DIscount Variable Owner Occupier P&I <80%: 9 basis point cut to 2.59% p.a. (2.64% p.a. comparison rate*)

This is how these lenders stack up among the wider owner occupier home loan market, as seen in the table below.

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CUA interest rate cuts

CUA slashed a few home loans on the 'Accelerate' line for both investors and owner occupiers, all by 20 basis points. 

• Accelerate Variable P&I: Down to 2.94% p.a. (2.99% p.a. comparison rate*)
• Accelerate Variable IO: Down to 3.44% p.a. (3.08% p.a. comparison rate*)
• Inv Accelerate Variable P&I: Down to 3.37% p.a. (3.42% p.a. comparison rate*)
• Inv Accelerate Variable IO: Down to 3.72% p.a. (3.56% p.a. comparison rate*)

CUA's changes come after it announced it would be renaming itself to 'Great Southern Bank'.

Auswide Bank interest rate cuts

Auswide Bank cut a wide variety of investor loans by up to 45 basis points. Some of the key ones were:

• Freedom Package Inv Variable IO 75%: 45 basis point cut to 2.99% p.a. (3.40% p.a. comparison rate*)
• Freedom Package Inv Fixed P&I 3 Years 75%: 30 basis point cut to 2.29% p.a. (4.10% p.a. comparison rate*)
• Basic Variable Investment Loan P&I 75%: 40 basis point cut to 2.59% p.a. (2.61% p.a. comparison rate*)

The 'Freedom Package' loans are discounted as a 'special offer', meaning the discounted rate could end at any time. 

Horizon Bank interest rate cuts

Horizon Bank cut fixed home loans between one and three years for both owner occupiers and investors. They were all cut by 20 basis points. Some details are:

• 1 Year: Down to 2.19% p.a. (3.41% p.a. comparison rate*)
• 2 Years: Down to 2.19% p.a. (3.30% p.a. comparison rate*)
• 3 Years: Down to 2.19% p.a. (3.20% p.a. comparison rate*)
• Inv 1 Year: Down to 2.44% p.a. (3.66% p.a. comparison rate*)
• Inv 2 Years: Down to 2.44% p.a. (3.55% p.a. comparison rate*)
• Inv 3 Years: Down to 2.44% p.a. (3.45% p.a. comparison rate*)

These comparison rates are for borrowers paying P&I, borrowing up to 80% LVR (i.e. a 20% deposit).

Photo by Jaye Haych on Unsplash