All major banks have now raised variable and fixed-rate loans following February cash rate increase
Macquarie Bank has officially raised variable rates by 25 basis points, making it the last of Australia’s five largest home lenders to pass through the Reserve Bank of Australia (RBA)’s February rate hike.
Macquarie increased its floating interest rate from 5.34% to 5.59%, with fixes getting the same treatment. It comes 17 days after the RBA raised the cash rate to 3.85%, citing stubborn inflation and red-hot employment figures.
"With rates now on the rise, we want to help our home loan customers adjust to the higher interest rate environment, so we’ve decided to wait until 20 February before passing through this rate increase," said Macquarie's head of personal banking Ben Perham following the RBA's cash rate increase.
Perham added: "The lending market remains very competitive for borrowers, and after a year of falling rates, this move by the RBA may be a wake-up call for those who have been considering switching their loan to another bank. If you’re refinancing or just entering the market, speak to your broker to understand what options out there are best for you.”
The Big Four were quicker to pass on the RBA’s rate hike.
CBA increased its Standard Variable Rate home loan (owner occupier, principal and interest, up to 60% LVR) by 25 basis points to 5.84% on 13 February.
ANZ increased its Standard Variable home loan to 6.74% (owner occupier, principal and interest, up to 80% LVR) on 13 February.
NAB increased its Base Variable Rate home loan (owner occupier, principal and interest, up to 95% LVR with LMI) by 25 basis points to 5.94% on the same day.
Westpac was the last of the Big Four to raise rates, having held off until 17 February to raise rates by 25 basis points on comparable home loans.
Among the prominent second-tier lenders, ING was quick to pass through the RBA’s latest rate hike, lifting variable principal-and-interest mortgages up to 80% LVR by 25 basis points on 10 February.
Bendigo Bank was also an early mover, having lifted variable and fixed rates by 25 basis points on 11 February.
How brokers can help
"In a rising‑rate environment, increasing repayments are prompting many households to reassess their home loan," says Mark Haron, executive director at mortgage aggregator Connective. "Brokers play a key role here – helping homeowners understand how rate changes affect them, reassess their loan structure, and run scenarios showing future repayment impacts. This provides borrowers with clearer, practical options at a time when maintaining stability is a priority.
Haron believes working with a mortgage broker is essential, as borrowers can get holistic advice and access to more options beyond legacy banking providers.
"Brokers can leverage their industry relations to help borrowers navigate complexity and negotiate sharper interest rates and improve client’s loan position as brokers are legally bound to act in the client's best interest," says Haron.
"This includes reviewing pricing, features, longer‑term suitability, and guiding decisions around restructuring or switching when it aligns with the borrower’s goals. The aim is to ensure each borrower stays on a loan that genuinely fits their needs as conditions change."
