Ian McPhee, the former Commonwealth auditor-general who is heading the Australian Bankers Association review of banks remuneration practice, will provide quarterly public reports  on the progress of his review and banks' responses, the Australian Financial Review reports. McPhee said he would like to see the review continue even if Labor wins the election and holds a royal commission into the banking industry. McPhee said: "Banks have a responsibility, given their status in the economy and community, to ensure they are performing well, and they have identified some areas where they can do better." Commonwealth Bank is planning to cut interest rates on loans to property investors, the Australian Financial Review reports. The rate on its "extra investment home loan" is being cut to 4.2 per cent and the minimum loan size is being reduced. A bank spokesperson said it was adjusting its rates to bring them into line with the market. The arrears rate for prime residential mortgage backed securities increased during the March quarter, Moody's Investors Service reported. Loans with payments overdue by 30 days or more increased from 1.28 per cent in the December quarter last year to 1.51 per cent in the March quarter. Moody's said it was normal for delinquencies to rise in the March quarter, after the Christmas season. The arrears rate for bank RMBS issuers was 1.44 per cent in March and for non-ADI issuers it was 2.95 per cent.