Media releases
Westpac announces interest rate changes
17 March 2026
Following the Reserve Bank of Australia’s decision to increase the cash rate, Westpac has announced interest rate changes for home loan and deposit customers.
For home loan customers:
- Westpac will increase home loan variable interest rates by 0.25% p.a. for new and existing customers, effective 31 March.
For deposit customers:
- Westpac Life total variable rate with bonus interest will increase by 0.25% p.a. to 4.75% p.a., effective 27 March*.
Westpac Chief Executive, Consumer, Carolyn McCann said: “With overseas conflict impacting inflation and cost of living, we know these are uncertain times for many of our customers.”
“We are here to help and if customers are concerned, we urge them to contact us as early as possible so we can talk through the support options available,” Ms McCann said.
Westpac customers paying principal and interest will be notified directly about what this will mean for their repayments and how they can make changes, which includes via the app, the website or by contacting the bank.
“We are also increasing the interest rate on our most popular product for savers, which we know will be welcome news for customers who are working towards their financial goals,” Ms McCann said.
Support for customers:
Customers can visit the Westpac website for more information about our latest home loan or deposit rates. They can also call us on 132 032 or visit their local branch. Those experiencing financial difficulty can contact Westpac Assist for personalised support on 1800 067 497.
Tips for managing home loan repayments for variable rate customers:
- Plan ahead. Customers can use a mortgage calculator to work out how much their repayments may cost after an interest rate change or use it to see what the impact of any further changes may mean for their mortgage. Westpac’s Mortgage Repayment Calculator can be viewed here.
- Get ahead. Customers may be able to reduce the total term and interest costs of their loan by splitting their monthly repayment in half and paying every two weeks instead. By paying more frequently, customers are reducing the principal amount sooner, as they will make the equivalent of an extra month’s repayment each year.
- Maximise offset accounts. An offset account is an eligible transaction account linked to a customer’s mortgage account. The balance of this linked account is ‘offset’ against the home loan balance when loan interest is calculated, so could reduce the amount of interest paid. For customers without an offset, now could be a good time to check if their loan offers this feature and consider if it’s right for them.
ENDS
*Westpac Life change
The standard variable bonus rate on Westpac Life will increase by 0.25% p.a.
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