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RBA rate rise May 2022: Is your bank raising your home loan rate?

5 min read
3 May 2022
Reserve Bank July 2022

On 3 May 2022, The Reserve Bank of Australia (RBA) announced it was raising the official cash rate by 25 basis points.

This is the first time the central bank has raised the cash rate since 2010 and takes it up from the record low 0.10% it had been for nearly two years.

When the cash rate increases, home loan rates tend to follow suit, and unfortunately for borrowers, this will not be the last.

“Today is just the start of what we believe will be a series of successive rises. There’s an entire generation of homeowners who’ve known nothing but falling interest rates,” Compare the Market’s banking expert David Ruddiman said.

“By the end of next year, we expect the cash rate to be near the 2% mark or higher – a far cry from the record-lows borrowers have become accustomed to.

“It will be crucial for homeowners to plan ahead and compare options to make sure they’re on a competitive rate. The cheap fixed rates of recent years have all but disappeared so it’s even more important to seek out market-leading rates.”

This means there will be a series of rate rises in store for the millions of borrowers in Australia. To help you keep track of how much your bank is increasing your rates by and when they’ll go up, Compare the Market has compiled a list of interest rate changes across some of Australia’s biggest banks and lenders.

All banks and lenders may not be included in this list. We’ve included the lenders on our panel.

The information on this page is general only – check with your lender for further details on their interest changes and how you might be affected.

This page was last updated 9 May 2022.

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Big four bank rate rises

ANZ rate rise

Rate hike: +25 basis points.

Customers affected: Variable interest rates for Australian home and residential investment loans.

Effective from: 13 May 2022.

Other info: ANZ is also increasing the Bonus Saver savings account interest rate by 25 basis points on 13 May.

Source: ANZ changes variable home loan rates.

Commonwealth Bank rate rise

Rate hike: +25 basis points.

Customers affected: Variable rate home loans.

Effective from: 20 May 2022.

Other info: Visit Commonwealth Bank for more information

NAB rate rise

Rate hike: +25 basis points.

Customers affected: Variable rate home loans.

Effective from: 13 May 2022.

Other info: Consumer savings interest rates have also been increased by 25 basis points.

Source: NAB announces changes to variable interest rates.

Westpac rate rise

Rate hike: +25 basis points.

Customers affected: Variable interest rates for new and existing customers.

Effective from: 17 May 2022.

Other info: Westpac will also increase interest rates for selected consumer deposit accounts Westpac Life and Westpac 55+ and Retired by 0.25% p.a.

Source: Westpac announces interest rate changes for customers. 


AMP rate rise

Rate hike: +25 basis points.

Customers affected: All variable rate home loans.

Effective from: 13 May 2022 for new customers, 16 May for existing customers.

Other info: AMP Bank will also increase interest rates on selected deposit products by 25 basis points effective 10 May 2022.

Source: AMP.

Adelaide Bank rate rise

Rate hike: +25 basis points.

Customers affected: Bendigo and Adelaide Bank home loan customers on a Variable Rate Loan.

Effective from: 16 May 2022.

Other info: The Bank will also increase the interest rate on many of its deposit products and savings accounts by 25 basis points.

Source: Bendigo and Adelaide Bank announce interest rate changes for borrowers and savers.

AFG Home Loans rate rise

Rate hike: +25 basis points.

Customers affected: Variable loans for existing customers. 

Effective from: 20 May 2022.

Other info: AFG home loans interest rate changes.

Bank of Melbourne rate rise

Rate hike: +25 basis points.

Customers affected: Variable interest rates for new and existing home loans.

Effective from: 17 May 2022.

Other info: Interest rates for selected consumer deposit accounts will also see interest rate increases of 25 basis points.

Bank SA rate rise

Rate hike: +25 basis points.

Customers affected: Variable interest rates for new and existing home loans.

Effective from: 17 May 2022.

Other info: Interest rates for selected consumer deposit accounts will also see interest rate increases of 25 basis points.

Bankwest rate rise

Rate hike: +25 basis points.

Customers affected: Variable rates for new and existing customers.

Effective from: 18 May 2022.

Other info: See Bankwest for more information. 

Bendigo Bank rate rise

Rate hike: +25 basis points.

Customers affected: Bendigo and Adelaide Bank home loan customers on a Variable Rate Loan.

Effective from: 16 May 2022.

Other info: The Bank will also increase the interest rate on many of its deposit products and savings accounts by 25 basis points.

Source: Bendigo and Adelaide Bank announce interest rate changes for borrowers and savers.

Bluestone rate rise

Rate hike: TBA

Customers affected: TBA

Effective from: TBA

Other info: TBA

BOQ rate rise

Rate hike: +25 basis points.

Customers affected: Variable home loans.

Effective from: 13 May 2022.

Other info: BOQ Interest Rate Decision.

HSBC rate rise

Rate hike: +25 basis points.

Customers affected: Variable home loans.

Effective from: 23 May 2022.

ING rate rise

Rate hike: +25 basis points.

Customers affected: Variable residential home loan interest rates for new and existing customers.

Effective from: 10 May 2022.

Other info: Existing home loan customers will receive a letter in the post confirming the updates by 1 June 2022.

Source: ING to increase variable home loan rates.

Macquarie rate rise

Rate hike: +25 basis points.

Customers affected: Variable home loans.

Effective from: 13 May 2022.

Other info: Macquarie’s savings account welcome rate will increase to 1.50% next week, up 0.40% in the past month.

Source: RBA interest rate decision – May 2022.

ME rate rise

Rate hike: +25 basis points.

Customers affected: Variable home loans.

Effective from: 13 May 2022.

Other info: We are changing interest rates.

Pepper Money rate rise

Rate hike: TBA

Customers affected: TBA

Effective from: TBA

Other info: TBA

St. George rate rise

Rate hike:  +25 basis points.

Customers affected: Variable interest rates for new and existing home loans.

Effective from: 17 May 2022.

Other info: Interest rates for selected consumer deposit accounts will also see interest rate increases of 25 basis points.

Virgin Money rate rise

Rate hike: +25 basis points.

Customers affected: Variable home loans.

Effective from: 13 May 2022.

Other info: See Virgin for more information. 

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avatar of author: William Jolly

Written by William Jolly

William is a Senior Finance Writer at Compare the Market, and has previously worked as a finance journalist for several years. He specialises in writing about financial products like home loans in ways that the average Australian can understand and enjoy. When he's not writing about saving money, William enjoys playing football (soccer), watching a good movie and spending time with his dog.

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