ANZ fails to pass on full cut

by Adam Smith15 Oct 2012

ANZ has made its rate call at today's monthly meeting, becoming the fourth major to pass on only part of the RBA's cut.

The bank has announced it will trim standard variable rates by 20bps from next Friday. The move takes the bank's variable rate to 6.60%, even with CBA and lower than Westpac's 6.71%, but higher than NAB's 6.58%.

ANZ Australia CEO Philip Chronican claimed intense competition for retail deposits had offset stability in offshore funding markets.

“While this increase in competition is benefiting the majority of our customers through historically high deposit rates relative to the cash rate, last week’s decision from the RBA has provided some scope to once again reduce our variable lending rates,” he said.