Move comes as majors prepare to pass through RBA's latest cash rate increase
Correction: This article originally said variable principal-and-interest mortgages up to 80% LVR had incorrectly increased by 30 basis points, not 25 basis points. The changes have since been made.
Australia’s sixth-largest mortgage lender ING has lifted interest rates across its suite of fixed-rate and variable- rate home loans.
Variable principal-and-interest mortgages up to 80% LVR have increased 25 basis points, from 5.39% to 5.64%, while LVRs above 80.01% have increased from 5.59% to 5.84%, and LVRs above 90.01% from 5.94% to 6.19%.
Interest-only variable mortgages have increased by 25 basis points to 6.04% across the board.
All ING fixed-rate loans up to 80% LVR have increased by 20 basis points, with one- and two-year rates jumping to 5.84%, and four- and five-year rates to 5.99%.
ING has also lifted its saving rate by 25 basis points to 5% for eligible new and existing Savings Maximiser customers.
Jennifer Davies, ING Australia’s head of retail said: “We know a lot of Aussies are working hard to stay on top of everyday expenses, so it’s great to be able to share some exciting news – we’re lifting the interest rates on our savings products beyond what the market was tipping. It’s one small way we can help your money work a bit harder for you.
“Higher interest rates also affect home loan repayments, and we have moved the rates of our residential mortgages. If any customer needs support with their mortgage, we’re always here to talk through the options available.”
Majors lift rates
All major banks have announced increases to their home loan rates following the Reserve Bank of Australia (RBA)'s decision to increase the cash rate by 25 basis points to 3.85% earlier this month.
Westpac will pass through the 25-basis-point hike on owner-occupier and investment loans from 17 February.
Commonwealth Bank will increase its variable home loan rates, including on its Digi Home Loan, Simple Home Loan and Standard Variable Rate by 25bps from 13 February.
ANZ will increase its variable home loan rates, including on its ANZ Standard Variable Home Loan Index Rate and ANZ Standard Variable Residential Investment Property Loan Index Rate products, by 25bps on 143 February.
Macquarie Bank will increase its variable home loan rates by 25bps from 20 February, while NAB will increase variable rates from 13 February.
