Big Four Banks All Raise Variable Home Loan Rates
If you hold a variable rate home loan with one of Australia’s Big Four banks, your repayments are about to increase. Following the RBA’s March rate decision, CBA, Westpac, and ANZ have now joined NAB in passing on the full rate hike to variable rate customers.
What the Big Banks Have Announced
All four major lenders — Commonwealth Bank, Westpac, ANZ, and NAB — have confirmed they will increase their variable home loan rates in line with the RBA’s 0.25 percentage point increase. This brings the standard variable rate for owner-occupiers to around 6.60% or higher, depending on the product.
- NAB was first to announce, passing on the full 0.25% increase
- CBA, Westpac, and ANZ followed within days
- Changes take effect within 1–2 weeks of the RBA announcement
How This Affects Your Monthly Repayments
For a typical $500,000 home loan over 30 years, the latest increase adds approximately $78 per month to repayments. Cumulatively, if rates have risen multiple times, borrowers could be paying hundreds more each month compared to just a couple of years ago.
Is It Time to Shop Around?
The Big Four banks don’t always offer the most competitive rates. Smaller lenders, credit unions, and non-bank lenders often have variable rates significantly lower than the majors. A mortgage broker can compare hundreds of products across the market to find a rate that better suits your situation.
- Compare your current rate to what’s available — you might be surprised
- Check whether your lender offers a loyalty discount or rate match
- Understand the costs of switching versus the long-term interest savings
What This Means for You
If your bank has just raised your rate, it’s a clear signal to review your options. Even a small rate reduction — say 0.30% to 0.50% — can translate to meaningful savings over the life of your loan. You don’t need to accept the rate your bank gives you.
Speak with Bao Yen Nguyen at Finance Hub to understand how this affects your situation. Book a complimentary assessment at finhub.net.au or call 1300 FINHUB (0480 03 03 03).
Finance Hub and Networks Australian Credit Licence 573164. Your full financial situation would need to be reviewed prior to acceptance of any offer or product.
