Australia's Big Four Banks Cut Interest Rates Following Rba Decision

Australia's four largest banks—Westpac, NAB, ANZ, and Commonwealth Bank—have committed to reducing interest rates. This move aims to provide financial relief amid post-pandemic inflation. The announcement follows the Reserve Bank of Australia's (RBA) decision to lower the cash rate from 4.1% to 3.85%. NAB was the first to pass on the RBA's cut, decreasing its standard variable home loan interest rate by 0.25% p.a., effective May 30. ANZ and Commonwealth Bank are expected to follow suit with similar cuts from May 30. Westpac will decrease home loan variable interest rates by 0.25% p.a. for new and existing customers, effective June 3. Treasurer Jim Chalmers welcomed the RBA's cash cuts, calling it a "welcome relief" for millions of Australians. He noted that for a $500,000 mortgage, this decision translates to savings of $79 a month, or $947 a year.