So, that's 2-2 in terms of reaction to the RBA by Australia's 'Big Four'
- ANZ Bank cuts key mortgage rate but doesn't pass on full RBA rate cut
- CBA and NAB lower mortgage rates by 25 bps after RBA rate decision earlier today
To be honest, I expected all four institutions to not have cut their variable home loan rates by 25 bps but it's a smart strategic move by both CBA and NAB.
With this being the RBA's first rate cut in almost three years, there's a lot of public scrutiny towards the decision - more so after the banks raised their mortgage rates last year amid rising funding costs and then not doing so when said funding costs dipped below the RBA cash rate recently as seen here.
Hence, the decision by CBA and NAB would no doubt please their customers but also draw flak towards ANZ and Westpac. Way to make a late and rightful decision look good, eh?
