Posted on 5th March 2015 by Christabelle Harris
Reserve Bank Reduces Interest Rates to Record Low
The Reserve Bank of Australia (“RBA”) has cut interest rates for the first time in 18 months (the last rate reduction was in August of 2013).
The RBA board lowered the 2.5 per cent cash rate by 25 basis points to a new record low of 2.25 per cent.
The move was designed to further stimulate business activity and household spending in the facing of slowing growth, low commodity prices and sluggish investment
By lowering the rate at which banks can refinance, the RBA hopes to bring down the cost of consumer, housing and business credit.
If you believe your current rate of interest is higher than it should be or are considering taking advantage of the low cost of money, call our team to discuss how our mortgage broker can help with your lending needs.