AMP Bank will reduce interest rates across all variable rate home loans by 0.15% p.a. and is introducing a new two-year fixed rate offer of 2.89% p.a. (comparison rate* 3.45% p.a. for loans greater than $250,000) for owner occupied principal and interest loans.

All changes are effective 14 October 2019.

AMP Bank Chief Executive Sally Bruce said:

“This variable rate decrease, together with recent rate decreases of 0.25% p.a. in June and 0.20% p.a. in July, will reduce minimum monthly repayments for AMP Bank customers by $167 on a $500,000 home loan. This represents an annual saving of $2,004, based on an interest rate of 3.79% p.a. decreasing to 3.19% p.a.

“We are managing our business in a very active market and decisions like this are considered carefully and thoroughly.

“We remain committed to providing competitive rates for our new and existing customers and today’s decision has been influenced by continued pressure on costs as well as a desire to balance the interests of home-owners and savers.”

For more information customers can call 13 30 30 or visit: www.amp.com.au/variableratechange