National Australia Bank cuts standard variable home loan rates to 6.13%

It's the lowest of the major banks for 46 months.

In a statement, National Australia Bank announced it would cut its standard variable home loan rate by 0.25%p.a. to 6.13%p.a.

The reduction saves customers $62.50 per month in interest on the average $300,000 home loan and builds on NAB’s track record of offering customers great value and the lowest standard variable home loan rate of the major banks.

Gavin Slater, Group Executive Personal Banking said NAB was committed to being competitive.

“For 46 months NAB has had the lowest standard variable rate of the major banks. As a result, NAB customers on a typical mortgage have saved up to $2060 in interest on NAB’s SVR compared to being on the SVR of the other major banks,” he said.

“We recognise that certainty is important for our customers, which is why we are pleased to be able to quickly pass on a 25 basis point reduction.

“We have a strong track record of being competitive. We led the industry in abolishing the most complained about fees, we’ve made our credit card payments fairer and maintained the lowest standard variable rate of the majors for nearly four years.”

The new rate is effective from Monday 13 May. NAB will also reduce its rate on standard variable business rate lending products by 0.25%p.a. UBank, backed by NAB, also announced it would cut its standard variable rate for the online-only UHomeLoan by 0.25%p.a.