ANZ, CBA, NAB and Westpac pass on August cash rate hike in full

We're keeping track of how the big four banks respond to the cash rate rise

The Reserve Bank of Australia (RBA) has raised the cash rate for the fourth time in as many months. Commonwealth Bank, ANZ, NAB and Westpac, otherwise known as the big four banks, have all increased their variable home loan rates in line with the cash rate call, as have a number of smaller lenders. We’re keeping track of home loan lenders’ movements, as well as what they could mean for your home loan and monthly repayments. Article last updated Monday 8 August, 11:00am AEST.

At its monthly meeting for August, held on Tuesday, the RBA raised the cash rate by 50 basis points to 1.85%. This decision marks the fourth cash rate hike in as many months, and those weary of monthly mortgage pain are unlikely to see relief for some time yet, with the RBA having earlier indicated that rates will continue rising until at least the end of 2022.

Compare Current Home Loan Rates

How have the big four banks responded to the cash rate increase?

For the past several months, Australia’s big four banks have been relatively quick to pass on cash rate hikes in full to their customers after the RBA’s announcements. By contrast, they were slower to react to the August cash rate hike, with their hesitancy perhaps due to the fact that none wanted to be seen as the first to raise rates.

Ultimately, Commonwealth Bank was the first one to move, announcing an increase of 50 basis points to variable home loan rates on Thursday morning. ANZ was next, announcing an increase of 50 basis points to variable home loan rates on Thursday afternoon, with Westpac following soon after, hiking by the same amount.

NAB was the last of the big four to announce a rate rise, hiking variable home loan rates by 50 basis points early on Thursday evening. We’ll be keeping an eye on other lenders, and will be updating this article as they make a movement on variable home loan rates.

We’ll also be keeping track of any changes that that the big four and other institutions make for savings account and term deposit customers, who may well see an increase in their savings rates following the central banks’ latest cash rate call.

Readers, take note that home loan rate changes are often expressed in terms of ‘basis points’ or ‘percentage points’ – if you’d like to know more, you can read our explainer to find out about how basis points work.

Source: www.canstar.com.au. Last updated Monday 8 August, 11:00am AEST. Current rates in the tables below are based on owner-occupier variable rates on Canstar’s database for a loan amount of $500,000, at 80% LVR with principal & interest repayments. Monthly repayment calculations based on a $500,000 loan repaid over a total of 30 years using principal & interest repayments. Lowest rates based on the lowest rates available for new customers from products that were also available before the May 2022 cash rate increase. Comparison rates calculated based on a loan amount of $150,000 and a loan term of 25 years. Read the Comparison Rate Warning.

ANZ home loan interest rate increases

ANZ has responded to the RBA’s August home loan rate hike, telling customers that it will increase variable home loan rates by 0.50 percentage points (pps) from August 12. The table below shows both the increase to the current monthly repayment on an average variable rate loan of $500,000, as well as the total amount that home loan repayments may have increased since May 1, before the current round of cash rate hikes.

Also note that the table below shows ANZ’s current standard variable and discounted standard variable interest rate, as well as its lowest variable rate and the comparison rate for each.

← Mobile/tablet users, scroll sideways to view full table →

	Current rate	Increase announced	Effective from	Increase to monthly repayment	Change to monthly repayment since 1 May 2022
Standard variable	5.64% (comparison rate 5.64%)	0.50 pps	12 August	$160	$542
Discounted standard variable	4.24% (comparison rate 4.24%)	0.50 pps	12 August	$148	$500
Lowest variable rate	3.29% (comparison rate 3.30%)	0.50 pps	12 August	$140	$406

Commonwealth Bank home loan interest rate increases

CommBank was the first of the big four banks to announce an August home loan rate hike, telling customers that it will increase home loan variable rates by 0.50 percentage points (pps) from August 12. The table below shows both the increase to the current monthly repayment on an average variable rate loan of $500,000, as well as the total amount that home loan repayments may have increased since May 1, before the current round of cash rate hikes.

Also note that the table below shows CommBank’s current standard variable and package variable interest rate, as well as its lowest variable rate and the comparison rate for each.

← Mobile/tablet users, scroll sideways to view full table →

	Current rate	Increase announced	Effective from	Increase to monthly repayment	Change to monthly repayment since 1 May 2022
Standard variable	5.80% (comparison rate 5.94%)	0.50 pps	12 August	$161	$547
Package variable	5.10% (comparison rate 5.50%)	0.50 pps	12 August	$156	$526
Lowest variable rate	3.39% (comparison rate 3.40%)	0.50 pps	12 August	$141	$434

NAB home loan interest rate increases

NAB was the last of the big four banks to announce an August home loan rate hike, telling customers that it will increase home loan variable rates by 0.50 percentage points (pps) from August 12. The table below shows both the increase to the current monthly repayment on an average variable rate loan of $500,000, as well as the total amount that home loan repayments may have increased since May 1, before the current round of cash rate hikes.

Also note that the table below shows NAB’s current standard variable and package variable interest rate, as well as its lowest variable rate and the comparison rate for each.

← Mobile/tablet users, scroll sideways to view full table →

	Current rate	Increase announced	Effective from	Increase to monthly repayment	Change to monthly repayment since 1 May 2022
Standard variable	5.77% (comparison rate 5.90%)	0.50 pps	12 August	$161	$546
Package variable	4.92% (comparison rate 5.31%)	0.50 pps	12 August	$154	$521
Lowest variable rate	3.44% (comparison rate 3.48%)	0.50 pps	12 August	$141	$474

Westpac home loan interest rate increases

Westpac has announced an August home loan rate hike, telling customers that it will increase home loan variable rates by 0.50 percentage points (pps) from August 18. The table below shows both the increase to the current monthly repayment on an average variable rate loan of $500,000, as well as the total amount that home loan repayments may have increased since May 1, before the current round of cash rate hikes.

Also note that the table below shows Westpac’s current standard variable and package variable interest rate, as well as its lowest variable rate and the comparison rate for each.

← Mobile/tablet users, scroll sideways to view full table →

	Current rate	Increase announced	Effective from	Increase to monthly repayment	Change to monthly repayment since 1 May 2022
Standard variable	5.83% (comparison rate 5.97%)	0.50 pps	18 August	$161	$548
Package variable	4.54% (comparison rate 4.92%)	0.50 pps	18 August	$151	$509
Lowest variable rate	3.64% (comparison rate 3.65%)	0.50 pps	18 August	$143	$532

How have other lenders responded to the RBA’s announcement?

Outside of the big four banks, it’s likely most other home loan lenders will pass on August’s RBA cash rate hike in some form or another to their home loan customers, as was the case in the days and weeks following last month’s decision. We’ll be keeping track of the movements of smaller lenders, and will keep you updated as these other players announce their plans.

AMP Bank

AMP has announced it will increase its variable home loan rates by 50 basis points, with the changes coming into effect on 12 August 2022. This means owner-occupiers with a $500,000 home loan with 80% LVR on the bank’s AMP Essential Home Loan product could see their repayments increase by around $141 per month, Canstar data shows. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $446 per month.

Athena

Athena has increased its variable home loan interest rates by 50 basis points, effective 4 August 2022. This means owner-occupiers on a $500,000 home loan with 80% LVR on the lender’s Liberate home loan could see their interest repayments increase by around $140 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $509 per month.

Australian Unity

Australian Unity has announced it will increase its variable home loan rates by 50 basis points, with the changes coming into effect on 5 August 2022. This means owner-occupiers with a $500,000 home loan with 80% LVR on the lender’s Kick Starter Discount Variable product could see their repayments increase by around $140 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $406 per month.

Auswide

Auswide has announced it will increase its variable home loan interest rates by 50 basis points, effective 17 August 2022. This means owner-occupiers on a $500,000 home loan with 80% LVR on the lender’s Basic home loan could see their interest repayments increase by around $142 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $463 per month.

Bank of Melbourne

Bank of Melbourne has announced it will increase its variable home loan rates by 50 basis points, with the changes coming into effect on 18 August 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Basic Home Loan product could see their interest repayments increase by around $140 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $456 per month. Bank of Melbourne is owned by Westpac, along with BankSA and St.George.

Bank of Queensland

Bank of Queensland (BOQ) has said it will increase its variable home loan interest rates by 50 basis points, with the change effective for new and existing customers from 9 August 2022. This means owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Economy Variable Home Loan product could see their interest repayments increase by around $139 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $406 per month. BOQ also owns ME Bank and Virgin Money, both of which have also announced they will match the RBA’s rate hike this month (see below for more details).

BankSA

BankSA has announced it will increase its variable home loan rates by 50 basis points, with the changes coming into effect on 18 August 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Basic Home Loan product could see their interest repayments increase by around $140 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $456 per month.

Bankwest

Bankwest has said it will increase its variable home loan interest rates by 50 basis points, with the changes coming into effect from 12 August 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Complete Variable Home Loan product could see their interest repayments increase by around $140 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $421 per month.

Bendigo Bank

Bendigo Bank has said it will increase its variable home loan interest rates by 50 basis points, with the changes coming into effect from 12 August 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Express Home Loan product could see their interest repayments increase by around $140 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $467 per month.

Firstmac

Firstmac has increased its variable home loan rates by 50 basis points, effective 5 August 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the lender’s Basic 2 Year Intro product could see their interest repayments increase by around $141 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $474 per month.

Homestar Finance

Homestar Finance has increased its variable home loan rates by 50 basis points, effective 4 August 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the lender’s Star Essentials product could see their interest repayments increase by around $140 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $484 per month.

ING

ING has said it will increase its variable home loan interest rates by 50 basis points, with the changes coming into effect from 9 August 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Mortgage Simplifier home loan product could see their interest repayments increase by around $139 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $428 per month.

loans.com.au

Loans.com.au has increased its variable home loan interest rates by 50 basis points, with the changes coming into effect from 5 August 2022. This means owner-occupiers on a $500,000 home loan with 80% LVR on the lender’s Smart Booster Home Loan Intro 2 Yrs product could see their interest repayments increase by around $138 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $462 per month.

Macquarie Bank

Macquarie Bank has said it will increase its variable home loan interest rates by 50 basis points, with the change effective from 12 August 2022. This means owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Basic Home Loan product could see their interest repayments increase by around $140 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $432 per month.

ME Bank

BOQ subsidiary ME has said it will increase its variable home loan interest rates by 50 basis points, with the change effective for new and existing customers from 6 August 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Flexible + Member Package Home Loan product could see their interest repayments increase by around $140 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $459 per month.

MyState Bank

MyState Bank has announced it will increase its variable home loan rates by 50 basis points, with the changes coming into effect on 15 August 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Basic Variable Home Loan product could see their interest repayments increase by around $142 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $475 per month.

RAMS

RAMS has said it will increase its variable home loan rates by 50 basis points, with the changes effective from 20 July 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Essential Home Loan product could see their interest repayments increase by around $141 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $474 per month.

St.George

St.George has announced it will increase its variable home loan rates by 50 basis points, with the changes coming into effect on 18 August 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Back to Basics product could see their interest repayments increase by around $140 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $456 per month.

Suncorp Bank

Suncorp Bank has announced it will increase its variable interest rates by 50 basis points for home loan customers, effective 12 August 2022. This means an owner-occupier customer with a $500,000 home loan on the bank’s Back to Basics Variable (70.01 – 80% LVR) product could see their interest repayments increase by around $140 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $460 per month.

Virgin Money

Virgin Money has said that it will increase its variable home loan interest rates by 50 basis points, with the change effective for new and existing customers from 9 August 2022. This means that owner-occupiers on a $500,000 home loan with 80% LVR on the bank’s Reward Me Home Loan product could see their interest repayments increase by around $142 per month. Since 1 May 2022, before the current round of cash rate rises, customers on this home loan product may have seen their repayments go up by a cumulative total of $475 per month.

Source: www.canstar.com.au. Last updated Monday 8 August, 11:00am AEST. Current rates based on owner-occupier variable rates on Canstar’s database for a loan amount of $500,000, at 80% LVR and with principal & interest repayments. Monthly repayment calculations based on a $500,000 loan repaid over a total of 30 years using principal & interest repayments. Lowest rates based on the lowest rate available for new customers from products that were also available before the May 2022 cash rate increase. Comparison rates calculated based on a loan amount of $150,000 and a loan term of 25 years. Read the Comparison Rate Warning.

Cover image source: Canstar.

This article was reviewed by our Sub Editor Tom Letts before it was updated, as part of our fact-checking process.

Alasdair Duncan

Content Editor

Alasdair Duncan is Canstar's Content Editor, specialising in home loans, property and lifestyle topics. He has written more than 500 articles for Canstar and his work is widely referenced by other publishers and media outlets, including Yahoo Finance, The New Daily, The Motley Fool and Sky News. He has featured as a guest author for property website homely.com.au.

In his more than 15 years working in the media, Alasdair has written for a broad range of publications. Before joining Canstar, he was a News Editor at Pedestrian.TV, part of Australia’s leading youth media group. His work has also appeared on ABC News, Junkee, Rolling Stone, Kotaku, the Sydney Star Observer and The Brag. He has a Bachelor of Laws (Honours) and a Bachelor of Arts with a major in Journalism from the University of Queensland.

When he is not writing about finance for Canstar, Alasdair can probably be found at the beach with his two dogs or listening to podcasts about pop music. You can follow Alasdair on LinkedIn.