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Westpac credit card rates 'still under review'

Westpac credit card rates 'still under review'

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Date Published : Monday, September 15, 2008

Westpac has dropped its fixed mortgage interest rates for both new and existing customers but said its interest rates for credit cards are still under review, it has been reported.

As of September 16th, Westpac has announced it will drop its fixed home loan rates by 0.3 percentage points from 8.59 per cent to 8.29 per cent.

According to the Age, the lender will also cut its fixed mortgage rates for three, four and five-year terms by 0.2 percentage points to 7.99 per cent.

Peter Hanlon, Westpac retail and business banking group executive, said that since July the lender had cut interest rates on its fixed rate mortgages by up to 1.3 percentage points.

"All of our fixed rate mortgages are more than one per cent per annum lower than the standard variable mortgage rate, so for those customers looking for interest rate certainty, fixing all or part of their home loan can be a good way to immediately reduce mortgage interest payments,” Mr Hanlon furthered, according to the Business Spectator.

However, a Westpac spokesperson declined to comment on whether credit card interest rates would be following the same downward trajectory.

Despite the news of a cut in fixed mortgage interest rates, Westpac closed 1.57 per cent down on September 15th at $23.15. During the last 52 weeks it has traded between $18.36 and $31.32.

The Business Spectator attributed the decline to uncertainty over the fate of US investment bank Lehman Brothers, which has since filed for bankruptcy.

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