Citibank has announced that it will be cutting its Mortgage Plus fixed two-year home loan rate to 4.99% per annum, as well as a reduction in the three-year fixed home loan rate to 5.14% per annum.
Overall, since October 2012, Citibank has reduced its two-year fixed mortgage rate by 20 basis points and its three-year fixed rates by 15 basis points.
Belen Lopez Denis, head of marketing product and strategy, mortgages at Citibank in Australia, says that based on recent research, the lender knows nearly one in three new borrowers locked-in a fixed rate on their home loan during March, 2013.
“As a result,” she says, “our new two and three-year fixed rates provide customers with even more home loan options and a greater level of certainty and security.”
Customers also have the abilityy to split their home loan, combining fixed repayments with a variable rate that provides access to a greater range of features, such as the ability to make additional repayments.
Citibank is also offering a free 60-day rate lock, which allows customers a guaranteed low fixed rate for 60 days after their application has been submitted, protecting them from rate alterations before their settlement date.
The lender will refund the $750 application and switching fee to customers who apply to refinance their current home loan before April 30, 2013. Customers who wish to take advantage of the new rate will receive guaranteed conditional approval in under-24 hours if all relevant information is supplied.