Newcastle Permanent Building Society and Hunter United Credit Union have passed on partial interest rate cuts.
Newcastle Permanent is the region’s largest home loan lender and passed on 30 of the 50 basis point cut instigated by the Reserve Bank of Australia last week.
The savings for customers with a $300,000 variable home loan rate would be about $56 a month or $672 a year.
Newcastle Permanent CEO Terry Millett said in making this decision they considered the needs of all their members including those with deposits and those with home loans.
Hunter United reduced its interest rate by 29 basis points which reduced its standard variable home loan rate to 6.75 per cent.
“Our ability to pass on a larger reduction in loan rates is limited by the fact that deposit rates remained stubbornly high,’’ Hunter United managing director John Ford.
The Greater Building Society reduced its interest rate by 0.3 per cent last week.