A plunge in global bond yields is prompting banks to slash interest rates on fixed-rate loans more aggressively than their variable rates, as lenders chase customers who want certainty on their mortgage costs. After this month’s cut in the cash rate to a record low, new figures from Canstar show banks have dropped fixed rates by an average of 0.38 percentage points this month, almost double the 0.2 percentage points average fall in lenders’ variable rates. To read the entire article by Clancy Yeates in the Sydney Morning Herald, please click here.
Tags: fixed rates