It comes after the bank initially made an announcement on 3 October 2019 after the most recent Reserve Bank of Australia cash rate cut, stating that it would lower the interest rates for all new and existing variable home loan customers by 0.15 of a percentage point.

The new announcement sees the non-major lender cutting its two-year fixed home loan rate to 2.88 per cent per annum.

ME said its new rate is effective today, and is available for its home loan customers on a flexible home loan with a member package.

This relates to owner-occupiers paying principal and interest with a loan-to-value ratio of equal to or less than 90 per cent.

Fixed rate cuts of up to 60 basis points across owner-occupied and investment home loans for both principal and interest and interest-only loan types are also available.

For investors, a two-year fixed rate on a flexible home loan that’s principal and interest is being offered at 3.18 per cent per annum, while loans fixed for three to five years are being offered for 3.28 per cent per annum.

About the author

Grace Ormsby

Grace is a journalist on Momentum Media's nestegg. She enjoys being able to provide easy to digest information and practical tips for Australians with regard to their wealth, as well as having a platform on which to engage leading experts and commentators and leverage their insight.

Grace is a journalist on Momentum Media's nestegg. She enjoys being able to provide easy to digest information and practical tips for Australians with regard to their wealth, as well as having a platform on which to engage leading experts and commentators and leverage their insight.