The Greater Building Society is again taking on the major banks in the home loan market, today announcing a market leading 2-year fixed rate of just 6.99%. The rate is more than half of one percent (55 points) lower than CBA and Westpac’s rate. 

Lender	2 yr Fixed Rate	Revert Rate	Comparison Rate*
Greater	6.99%	6.69%	6.75%
CBA	7.54%	7.36%	7.53%
Westpac	7.54%	7.51%	7.65%
ANZ	7.44%	7.41%	7.49%
NAB	7.49%	7.42%	7.42%
Newcastle Permanent	7.44%	7.12%	7.22%

CEO Don Magin said that the Greater’s fixed and standard variable home loan rates continue to be much lower than the major banks.

Mr Magin said the other important point that borrowers on fixed rates should consider is the rate they will revert to at the end of the fixed period.

“Unlike the major banks and our other major competitors, customers taking out our Great Rate Fixed Rate home loans revert to our lower Great Rate home loan variable rate rather than the standard variable rate,” Mr Magin said.  

“That is the reason why the all important comparison rate for the Greater’s 2-year fixed loan is much lower than any of our major competitors,” he said.

The comparison rate on a Greater 2–year fixed loan is 6.75%, almost one percent (90 points) lower than Westpac and 0.67% lower than the closest major bank (NAB).

“The Greater is continuing to inject much needed competition into the Australian home loan market to offer a fair go for Australian home owners.”

“With this great fixed rate, borrowers will not have to worry about Reserve Bank rate announcements for two years.”

“For people who want the certainty of fixed rates, the Greater offers a much better deal than the banks.”

The Greater’s one year fixed rate is also a highly competitive 6.69% (6.69% comparison rate).

The comparison rate determines the true rate of a loan, taking into account the upfront costs, ongoing fees, and other fees not commonly included in advertised rates.

Media information: Craig Eardley, Greater PR, on 0437 477 493.

*Comparison rate 6.75% pa for an amount of $150,000 over 25 years. WARNING: this comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Conditions, fees and charges apply to all loans. Rates current at 27 May 2010.