Lenders cut fixed rates

by Julia Corderoy17 May 2016
Wholesale funder Advantedge and non-major lender ME have both announced fixed rate home loan reductions.

Advantedge has cut its two and three-year fixed rates by 25 basis points and its five-year fixed rate by 10 basis points, effective from Monday 16 May.

 The announcement comes a week after Advantedge reduced variable rate loans by 25 basis points.

“The new rate-cut empowers brokers with a fantastic opportunity to talk to their customers and to deliver more competitive loans, which are ultimately designed to improve the financial outcomes of more Australian home-owners,” general manager of Advantedge, Brett Halliwell, said.

“Over 85% of brokers now have access to Advantedge’s innovative white label products, and our competitive pricing is one of the key reasons white-label loans are so strongly resonating with aggregators, brokers and customers.”

Also effective Monday 16 May, ME has cut its owner-occupier three-year Flexible Home Loan fixed rate and Flexible Home Loan with Member Package variable rate for new customers.

The new three-year fixed rate has been reduced to 3.97% (comparison rate 4.41%) for owner-occupiers.

The new member package variable rate has been reduced to 4.01% for owner-occupiers and 4.24% for investors (comparison rates of 4.42% and 4.62%, respectively). 

“ME is excited to offer these new rates, partly facilitated through recent cheaper fixed rate funding,” general manager broker sales, Lino Pelaccia said.