CUA homeowners to enjoy reduced interest rates
3 September 2008
Australia's largest credit union CUA (Credit Union Australia) has announced it will pass on the full 0.25 percent interest rate cut to its members from Monday.
CUA Managing Director Graham Olrich said the credit union’s standard variable rate is now 9.22%.
“This compares favourably with ANZ 9.37%, NAB 9.36%, Westpac 9.36%, CBA 9.33% and even Wizard Home Loans, who were the first to cut rates, but whose standard variable rate is still higher than CUA,” he said.
“At CUA, we have not stopped at just reducing all home loan variable interest rates. The 0.25% saving will also be passed onto members with personal loans.
“On 15 August CUA reduced fixed rate home loans by between 0.20 and 0.45%, and now for the second time in a month these rates will also be reduced, this time between 0.15 and 0.30%.
“To put this into context, the one year fixed rate home loan was 9.39%, but just three weeks and two interest rate drops later, this loan is now 60 basis points lower at 8.79%.
“As a 100% member-owned institution we don’t have external shareholders to satisfy and our sole focus is therefore always on finding the maximum benefit for members,” Mr Olrich said.
