Commonwealth Bank and NAB led the big banks in responding to the latest reduction in the cash rates, with neither passing on the full cut. Smaller lenders to announce rate changes included G&C Mutual Bank, Auswide Bank, Reduce Home Loans, Homestar Finance and Athena Home Loans.The Reserve Bank lowered the cash rates by 25 basis points to 75 bps, citing increased global economic risks, weak local economic growth, expected slowing in labour demand, low inflation pressure and weak dwelling construction activity.CBA cut its variable rates for owner-occupiers paying principal and interest by 13 bps. Its lowest variable rate is 3.22 per cent.NAB cut its owner-occupier variable rates by 15 bps, with its lowest variable rate now 3.2 per cent.The bank cut rates for investors paying interest only by up to 30 bps.Reduce Home Loans cut by 20 bps. Homestar, Athena and Auswide all cut by 25 bps. Homestar has a variable rate of 2.74 per cent.G&C Mutual has cut its variable rate first home owner loan by 50 bps to 2.79 per cent.Canstar reports that since the June cash rate cut, the average reduction has been 45 bps for variable rate loans and 51 bps for fixed rates. It has 150 loans from 40 lenders with rates below 3 per cent.