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The Mutual passes on full interest rate reduction

The Mutual has again moved quickly to pass on to members the full 25 basis point reduction in interest rates across variable home loans and
commercial loan products.

This is the second cut in interest rates this year, following today's announcement by the Reserve Bank of Australia to reduce the official cash rate by 25 basis points to a record low of 2.00 per cent.
The latest change will see the comparison rate on The Mutual's Budget Home Loan fall to an unprecedented 4.53%p.a. This will mean that members with a $300,000 mortgage over a 30-year term can expect a reduction in repayments of $45 per month.
The Mutual’s General Manager, Mr Geoffrey Seccombe, said the current interest rates are unprecedented in his time at The Mutual.
“In more than 26 years at The Mutual I have never experienced interest rates as low as what we have announced today,’ Mr Seccombe said.
“It presents a great opportunity for those looking to enter the home or investment market for the first time, and continues to provide some welcome relief for the many families across our region that are challenged every day with juggling their financial commitments.”
“As always though, the interests of all members are considered before making such a decision. While today’s rate change will be well received by borrowing members, depositing members who rely on the interest income from their investments are also a major consideration in The Mutual’s decision making.
This reduction in interest rates will come into effect on 18 May 2015.

Loan Amount Current Monthly Repayment New Monthly Repayment Monthly Saving
$300,000 $1,570 $1,525 $45
$250,000 $1,309 $1,271 $38
$200,000 $1,047 $1,017 $30
$150,000 $785 $763 $22

The above table is calculated on the loan amount, a current interest rate of 4.78%p.a., a new interest rate of 4.53%p.a., a loan term of 30 years and a monthly repayment of principal and interest.

View all rates
View all rates