Westpac announces rate changes
8 October 2009
Westpac today announced it is increasing its standard variable home and business lending interest rates, credit card rates and selected personal and business deposit rates in line with the Reserve Bank of Australia's (RBA) move to increase the cash rate by 0.25%, effective Monday 12 October 2009.
Westpac's standard variable home loan rate will rise by 0.25% to 6.06% per annum and variable business lending rates will also rise by 0.25%. Following the 0.25% rate rise, repayments on the average $250,000 household mortgage will increase by approximately $40 per month.
"The RBA's decision is a clear signal of its confidence in the recovery of the Australian economy. However, Westpac recognises the impact of this decision on household budgets and will ensure our customers are well-supported," Westpac's Group Executive Retail and Business Banking Peter Hanlon said.
Interest rates on personal and business deposit accounts including Westpac Reward Saver, eSaver and Business Max-i Bonus will also increase by 0.25%.
"Personal and business online deposit accounts will benefit from a full 0.25% increase with Westpac's deposit rates now at their highest levels above the official RBA cash rate in recent memory, reflecting the intense competition among Australia's major banks for household savings," Mr Hanlon added.
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 circumstances. Westpac has a range of options available to customers including splitting loans between fixed and variable rates as well as a number of competitive fixed rate mortgages.
Westpac also continues to support customers in financial difficulty through its Westpac Assist initiative. Customers facing financial difficulties in relation to their Westpac loans or accounts can contact Westpac Assist on 1800 067 497.
