Westpac has cut its interest rates on its short term fixed rate home loans by up to 20 basis points.
The bank said the rate on its three-year fixed rate loan would drop from 6.39 per cent to 6.19 per cent, effective immediately.
The new three-year fixed rate is Westpac’s lowest for three years, the bank said.
The rate on Westpac’s one-year fixed rate loan would drop 15 basis points to 6.19 per cent.
Competition in the fixed rate market is particularly intense at the moment after the recent cuts to variable interest rates on home loans, group executive of Westpac’s retail and business banking Jason Yetton said.
“And while there is some talk of further possible reductions, our new one and three year rates offer certainty and peace of mind to customers looking for both in their monthly repayments as well as a great price,” he said in a statement.