Fixed rate war continues with new record low

by Caroline Dann12 Sep 2012

ME Bank has cut its three-year fixed rate overnight to 5.39%, which it claims is the lowest three-year rate in the industry.

The rate is available to industry super funds and union members as part of its Super Members Home Loan (SMHL) Standard Home Loan.
“Economic uncertainty has driven down the cost of funding for fixed home loans and as part of [our] fairer approach to banking we’ve passed on this saving to our customers – members of industry super funds and unions,” said ME Bank's CEO Jamie McPhee.
Its one-year and five-year fixed rates have also been cut to 5.39% and 5.99% respectively for the same loan.
It comes after several majors and second-tiers cut their fixed rates last week, with CBA claiming to hit a 'nine-year low' in its five-year fixed rate.