Westpac increases rates
3 November 2009
Westpac today announced it was increasing its standard variable home, deposit and credit card interest rates in line with the Reserve Bank of Australia’s (RBA) move to increase the official cash rate by 0.25% and our increased funding costs. Our variable business lending rates will not be increased.
Westpac’s standard variable home loan rate will rise by 0.25% to 6.31% per annum, while interest rates on personal and business savings accounts Westpac Reward Saver, eSaver and Business Maxi-I Bonus will also increase by 0.25%. Interest rates on some credit cards including Ignite, 55-day and Low Rate cards will also increase 0.25% with all changes effective on Friday 6 November.
“Although we continue to manage challenging funding conditions, I am pleased to announce that Westpac has made the decision not to raise our variable business lending rates for our small business customers,” Westpac Group Executive Retail and Business Banking Peter Hanlon said.
“Westpac continues to provide the most extensive support to the small business sector including being the first bank to introduce a significant reduction of exception fees for our business customers. We are taking the necessary steps to ensure we can continue to help small to medium businesses manage their individual circumstances as the Australian economy continues to recover.
“Our support also extends to deposits, with business customers and households continuing to benefit from the highest interest rates above the cash rate in recent memory.”
Following the 0.25% rate rise, repayments on the average $250,000 household mortgage will increase by approximately $40 per month.
Westpac has a range of mortgage options available to customers including splitting loans between fixed and variable rates as well as a number of competitive fixed rate mortgages. Mr Hanlon encouraged any concerned customers to discuss their banking arrangements with their local Bank Manager to ensure they have the right mortgage product to suit their individual requirements.
Westpac also continues to support customers in financial difficulty through its Westpac Assist initiative and has a team of specialists able to provide personal assistance to help customers find the best possible way to regain and maintain control over their finances. Customers facing financial difficulties in relation to their Westpac loans or accounts can contact Westpac Assist on 1800 067 497.
