One of Australia’s non-major lenders has slashed the interest on its three year fixed rate in a bid to provide one of the cheapest rates on the market.
Yesterday, Suncorp Bank announced it would cut its three year fixed rate to 5.48 per cent – cheaper than all of the majors.
Speaking about the rate reduction, Suncorp Bank general manager intermediaries Steven Heavey said with fixed interest rates lower than they had been in some time, now was a good time to fix.
“The advantage of the Suncorp Bank three-year fixed rate is that it can be taken as part of a package or as a standalone rate, unlike other offers that only allow discounted rates as part of a package,” Mr Heavey said.
“With the highly competitive rates currently in market, now is a great time for people to review their home loan and consider switching to a better offer.
“Many Aussies are struggling with the rising costs of living, which have left many seeking certainty around the aspects of the household budget they can control, especially home loan repayments, which often make up the largest proportion.
“When it comes to mortgage repayments, consumers should consider the full range of options available, taking into account their own individual needs.
“The benefit of a fixed rate loan is that you know exactly how much you have to repay each fortnight or month and can budget accordingly. This feature can be especially beneficial for first home owners as they adjust to having a mortgage.
“One disadvantage however, is the loss of flexibility. For example, you generally can’t make additional repayments on fixed loans.”