Savings .com.au

Roughly every six weeks, the Reserve Bank of Australia (RBA) board meets to discuss Australia’s official cash rate. This sets the standard market interest rate for lending and borrowing money between banks. Banks and other lenders then set their own interest rates on the products they offer including home loans, savings accounts, and term deposits. Banks and lenders pay close attention to the cash rate as it affects their cost of doing business between themselves.

If there is a rise or fall in the cash rate, then the interest rate on a variable-rate mortgage is likely to rise or fall by a similar amount, depending on the lender. Most lenders generally respond to any moves the RBA makes, raising their interest rates when the cash rate increases and dropping their rates when it decreases.

Not all interest rate movements are linked to changes in the official cash rate. Banks and lenders shift the interest rates on their products regularly. This can be because of competition, business strategies, customer attraction or retention, or risk assessments. As a borrower, it pays to keep on top of any changes to the interest rate you are being charged on your mortgage to ensure it is competitive in the market.

How Savings.com.au’s Mortgage Interest Rate Change Calculator can help you

The Savings.com.au mortgage interest rate change calculator can show you how your home loan repayments could hypothetically shift if your lender changes your interest rate.

It’s important to be aware of how rate changes affect your home loan repayments, particularly when there is the potential for rate increases. Knowing the extent of higher repayments can help you reconfigure your budget to accommodate future interest rate increases. It also gives you time to consider refinancing your home loan if higher payments seem too daunting.

In the case of interest rate decreases, the calculator allows you to see how much your minimum repayments could drop by. Whenever the interest rate falls on your home loan, it’s wise to continue making the previous higher repayments if you can manage them. Any extra payment above the minimum goes towards paying down the principal of your loan and can considerably reduce the length of your loan.


Looking for a home loan?

Buying a home or looking to refinance? The table below features home loans
with some of the lowest interest rates on the market for owner occupiers.

Lender

Variable
More details
  • Available for purchase or refinance, min 10% deposit needed to qualify.
  • No application, ongoing monthly or annual fees.
  • Quick and easy online application process.
Disclosure

loans.com.au – Variable Home Loan P&I <90%

  • Available for purchase or refinance, min 10% deposit needed to qualify.
  • No application, ongoing monthly or annual fees.
  • Quick and easy online application process.
Disclosure
Variable
More details
100% owned by Commbank
  • No application or ongoing fees. Annual rate discount
  • Unlimited redraws & additional repayments. LVR <80%
  • A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.
Disclosure
100% owned by Commbank

Unloan – Variable Rate Home Loan LVR < 80%

  • No application or ongoing fees. Annual rate discount
  • Unlimited redraws & additional repayments. LVR <80%
  • A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.
Disclosure
Variable
More details
100% offset
  • Easy application. Fast approval. 100% offset.
  • Unlimited additional repayments free of charge.
  • Redraw available - Access additional payments.
Disclosure
100% offset

Ubank (part of NAB) – Flex variable home loan - 100% offset

  • Easy application. Fast approval. 100% offset.
  • Unlimited additional repayments free of charge.
  • Redraw available - Access additional payments.
Disclosure
Variable
More details
Disclosure

Macquarie Bank – Offset Home Loan (Owner Occupier, Principal and Interest, max LVR 60%)

  • Check your eligibility in as little as one minute
Disclosure
Variable
More details
Disclosure

Ubank (part of NAB) – Neat home loan - max. 80% LVR (Owner occupied, Principal and interest)

    Disclosure
    Variable
    More details

    AMP – Essential Home Loan (Owner Occupied, Principal and Interest, $750,000+, <= LVR 60%)

      Variable
      More details
      Disclosure

      Macquarie Bank – Basic Home Loan (Owner Occupier, Principal and Interest, max LVR 80%)

        Disclosure
        Variable
        More details

        Great Southern Bank – Offset Variable - Owner Occupier Principal & Interest (LVR is 70%)

          Variable
          More details

          Bendigo Bank – Complete Home Loan (OO P&I 60% - 80%)

            Variable
            More details

            IMB Bank – Essentials Home Loan (Principal and Interest) (LVR 80%-90%)

              Variable
              More details
              Disclosure

              ANZ – Simplicity PLUS Home Loan (Principal and Interest) (LVR < 70%) (New Customer) Special offer

                Disclosure
                VariableN/A
                More details
                Disclosure

                Commonwealth Bank – Extra Home Loan (Principal and Interest) (LVR 60%-70%)

                  Disclosure
                  VariableN/AN/A
                  More details
                  Disclosure

                  Westpac – Flexi First Option Home Loan (Promo) - Principal & Interest (LVR 70-80%)

                    Disclosure
                    Variable
                    More details

                    ING – Mortgage Simplifier ($150k+ where LVR >90% - O/Occ) P&I

                      Variable
                      More details
                      Disclosure

                      NAB – Tailored Home Loan Variable Rate - Principal and Interest LVR 60% or less

                        Disclosure
                        Variable
                        More details
                        • No application, ongoing monthly or annual fees.
                        • Available for refinance or purchases. Quick and easy online application process.
                        • Dedicated loan specialist throughout the loan application.
                        • Discounted interest rate for 5 years for homes with an eligible solar system
                        Disclosure

                        loans.com.au – Solar Home Loan P&I <90%

                        • No application, ongoing monthly or annual fees.
                        • Available for refinance or purchases. Quick and easy online application process.
                        • Dedicated loan specialist throughout the loan application.
                        • Discounted interest rate for 5 years for homes with an eligible solar system
                        Disclosure
                        Variable
                        More details

                        MOVE Bank – Offset Home Loan (Principal & Interest) LVR <80%

                          Variable
                          More details

                          Athena Home Loans – Straight Up Owner Occupied - Obliterate (LVR < 50%) (Principal and Interest)

                            Variable
                            More details

                            BankSA – Basic Home Loan for Owner Occupier P&I (Promo) (LVR below 70%)

                              Variable
                              More details

                              Credit Union SA – Owner Occupied Variable Home Loan Package (Principal and Interest)

                                Important Information and Comparison Rate Warning

                                Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of April 1, 2025. View disclaimer.

                                Important Information and Comparison Rate Warning