Specialist lender, RAMS Home Loans today announced it will once again move quickly to reduce its variable home loan rates by 0.1% p.a. passing on further savings to new and existing customers effective from Friday, 17 April 2009.

This rate reduction follows the latest decrease to the Reserve Bank of Australia’s official cash rate, taking the RAMS Standard Variable Home Loan rate to 5.59% p.a. and the RAMS Basic Home Loan to only 4.99% p.a. - some of the most competitive rates in the market.

RAMS Chief Executive, Melos Sulicich said RAMS has taken a long term view of its pricing decisions to continue to offer a valuable alternative in the lending market and deliver competitive home loans for everyday Australians.

“Many home buyers, in particular first home buyers are taking advantage of some of the lowest rates in decades, the boost to the First Home Owners Grant and competitive products to get a head start into the property market.

“As a result, RAMS is achieving record numbers of customer enquiries and application numbers are very strong.

“It is important to balance the high demand for home loans with the high cost of global funding. Therefore, RAMS will continue to manage pricing with careful consideration of the challenges in a deteriorating economic environment.

“Interestingly, borrowers are taking a more conservative and responsible approach to their mortgage repayments in these uncertain economic times. While interest rates are relatively low, we are finding many people are choosing to make more frequent and larger repayments - a smart strategy as a type of ‘insurance policy’ in case their financial situation changes,” he said.

RAMS encourages customers who may be concerned about meeting their home loan repayments to call 13-RAMS (13 7267) as soon as possible to discuss the options available to meet their personal needs.