The Bank of Queensland and ING are the first two banks to cut their rates following yesterday's 0.25 per cent cut in the official interest rate.Within minutes of the Reserve Bank of Australia's announcement yesterday, BoQ said it would pass on a 20 basis point variable mortgage rate cut this month. A spokesperson said deposit rates were still under review.CEO Stuart Grimshaw said, in a statement, that "for the past 12 months BoQ has consistently announced its rate change on the same day as the RBA meeting."The 20 basis point cut will take BoQ's standard variable rate home loan to 6.51 per cent as of 21 December.ING Direct will lower both its variable mortgage and its small commercial loan rates by the full 0.25 per cent from 24 December. ING's Mortgage Simplifier will move to a 5.72 per cent rate. ING Direct's chief financial officer, Glenn Baker, said the bank's funding position had eased recently, allowing it to pass on the full 25 basis points. "However, the threat of elevated funding costs has not passed completely," he added.ING will also drop its deposit rates by 0.25 per cent, a spokesperson confirmed.Other institutions made no announcements yesterday but are expected to make some adjustments in the coming days. The Australian Bankers' Association said on Monday that the RBA would not necessarily expect banks to follow its rate cut.Banks came under familiar pressure from Prime Minister Julia Gillard, who told a media conference earlier in the day that the "banks should certainly pass on in full any interest rate reduction if it is made.""It is very close to Christmas and so if an interest rate reduction is made, the banks should take into account that Australian families will be looking to them to pass the interest rate reduction on in full," she said.