Westpac has joined NAB to become the latest lender to cut a broad range of fees on credit cards as well as personal and business accounts.
Westpac and its subsidiary St George have cut their exception fess to $9.
The fee cuts, effective from October 1, include payment honour fees, outward dishonour fees and credit card late payment and over limit fees.
Westpac’s current exception fees are $40, while St George’s fees range between $38 and $45, angering consumer groups which have long labeled the fees as ‘unfair’.
Anti-bank sentiment has also been fuelled by the Rudd government, which has been quick to criticise out-of-cycle mortgage rate rises and the failure to pass on the full benefit of some rate cuts.
On Saturday, Westpac announced it was raising its fixed home loan interest rates.
From Tuesday, the bank will increase its one year fixed rate by 10 basis points to 5.59 per cent.
The rate for two and three year loans will rise by 40 basis points to 6.39 per cent and 6.99 per cent respectively.
The five-year rate will be increased by 45 basis points to 7.64 per cent.
According to a company spokesperson, rising funding costs had forced the bank to raise its interest rates.