Bank decreases interest rate by 0.26%

The group has decreased rates for variable and fixed loans

Bank decreases interest rate by 0.26%


By Rebecca Pike

With most lenders increasing their rates over the last few months, some lenders have made moves in the other direction.

HSBC made the decision last week to cut variable and fixed rates on both its investor and owner occupier products.

Customers on HSBC’s Home Value owner occupied loans paying principal and interest will see a decrease of five basis points to 3.59%.

The bank’s three year fixed Premier product has been reduced to 3.99% on investment loans paying principal and interest, which is a decrease of 26 basis points.

Alice Del Vecchio, head of mortgages and third party distribution, said, “Despite a recent softening in property prices, the fundamentals in the housing market remain strong and have been driven by strong jobs growth, a rising population and historic low interest rates.

“What this means for our customers, is that there’s no better time than the present to take advantage of these reduced rates to make purchasing or refinancing their Australian home a reality.”

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