Federal Opposition Leader Malcolm Turnbull says his aggressive stance towards the banks helped borrowers get a better deal from a cut in the official cash rate.
Major banks passed on 80 per cent of yesterday's one percentage point cut in the Reserve Bank's cash rate, reducing by about $150 the monthly repayments on a $300,000 mortgage.
Mr Turnbull had accused the government of abandoning borrowers by not insisting the banks pass on the full interest rate cut.
"I don't think there's anyone listening that imagines that the accountability I've called on the banks to give to their borrowers, has not resulted in them passing on somewhat more than ... they ideally would have liked to pass on," Mr Turnbull told ABC Radio today.
"So in other words, I have stood up for borrowers and I think borrowers have got a better deal as a result."
But Mr Turnbull backed away from suggestions he was taking credit for the size of the cuts.
"I'm not taking credit for any particular amount of it.
"But the reality is that when you call on people to be accountable and to be transparent and justify what they're doing, they have to sit back and think OK how much is this really costing us, how much can we really bear and that causes them to reflect and perhaps be more precise."
However Federal Treasurer Wayne Swan says Mr Turnbull is wrong to think his ego and reckless grandstanding caused banks to pass on most of the rate cut to borrowers.
The treasurer took a swipe at the federal opposition leader today, saying the global financial crisis caused the Reserve Bank to issue a reduction of 100 basis points to the official cash rate.
Before yesterday's announcement, Mr Turnbull advocated banks should pass on all of the rate cut to borrowers.
Banks responded by passing on 80 per cent of the cut, which the federal government supported.
"I know Mr Turnbull thinks that the whole world revolves around his ego, but there are some events in the world which are much bigger than Mr Turnbull's ego," Mr Swan told reporters in Sydney today.
He said the Reserve Bank responded to the global financial crisis by easing monetary policy in Australia and banks acted appropriately."
"It's got absolutely nothing to do with Mr Turnbull," he said.
"The truth is that the international cost of money is through the roof at the moment."
The treasurer called Mr Turnbull's position "reckless grandstanding", but supported further concessions by the banks once the global situation improved.
"Now when the international circumstances normalise, I'd expect the rest of it to be passed on by the bank," he said.