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RBA announces historic interest rate cut

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The Reserve Bank has slashed interest rates again to another record low.

The cash rate has been reduced to 0.1 per cent, saving mortgage holders another 0.15 per cent if banks pass on the cut in full.

A person with a $1,000,000 mortgage would save around $500 a year.

It is also the first time the RBA had handed down a partial cut.

The Motley Fool’s Scott Phillips told Deborah Knight it’s not going to put a huge amount of extra cash in most mortgage holders’ pockets.

“Savers are really going to struggle.”

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