NAB makes interest rate promise

By Larry Schlesinger | 1/02/2010 4:00:00 PM | 1 comments

NAB has reassured its customers it will not raise interest rates on its mortgage products by more than any increase announced by the RBA at its board meeting tomorrow

This promise extends to its Homeside products.

NAB's standard variable home loan interest rate is currently 6.49% per annum - the best rate amongst the major banks.

In December last year NAB was the only major bank not to move its standard variable home loan interest rate by more than the RBA cash rate.

Lisa Gray, group executive NAB personal banking said the bank wanted to give its customers "a clear understanding of what to expect from NAB, should the RBA choose to lift the cash rate in February".

"We know there are two main things that many bank customers worry about prior to the monthly RBA meetings: firstly will the RBA raise the cash rate; and secondly will their bank lift interest rates by even more than the RBA.

"Whatever the RBA decides on Tuesday, we want to reassure our customers that in February NAB will not increase interest rates above any RBA decisions."

Related stories:

NAB cuts fees to small business - NAB will abolish overdraft fees to small business customers, according to a report in the AFR

Latest Comments

Total: 1 comment(s)

Broker on 01 Feb 2010 05:24 PM

Good on you NAB, now can the other please explain when they will follow suite?

And when ( if ever) you will start returning some of the the other 150 basis points that you are still gauging from your customers, we havent forgotton about that either!

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