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Variable home loan interest rate increase 

Wednesday 8 November 2023 announcement

Following the Reserve Bank of Australia (RBA’s) decision to increase the official cash rate, Westpac today announced a 0.25% per annum (p.a.) increase to our variable home loan interest rates, for new and existing home loans.

These variable rate changes will come into effect from Tuesday 21 November 2023

 

Summary of changes 

These rates don’t include any package# or special offer^ discount, or any applicable LVR+ discount or margin.

Loan type Rate change from Tuesday 21 November 2023 Standard variable rate Comparison rate*
Rocket Repay:
Principal & Interest
+0.25% p.a. 8.83% p.a. 8.96% p.a.
Rocket Repay:
Interest Only
+0.25% p.a. 9.42% p.a 9.55% p.a.

Flexi First Option basic home loans will also increase by 0.25% p.a.

Variable loans that are no longer for sale may also increase by the same amount.

 

You can check your current rate in the Westpac App or Online Banking. Your rate will be updated on Tuesday 21 November 2023

  • Westpac App – tap your home loan account and tap the (i) icon to find your rate
  • Online Banking – select your home loan account and select Account details, then General to find your rate.

What this means for you

Principal & Interest variable rate home loans

If you'd like to adjust your repayment after your interest rate has changed, you can call us on 132 558 from Tuesday 21 November 2023.

We’re reviewing repayments in early 2024, and we’ll let you know if your new minimum monthly repayment amount is changing and when this starts, giving you time to adjust your payments. If you’ve set up a direct debit for your home loan repayments, this will automatically be updated to meet your new minimum monthly repayment amount.

Interest Only variable rate home loans

Your repayment changes each month depending on the interest charged to your loan. If you’ve set up a direct debit for your home loan repayments, this will continue to be automatically updated to meet your Interest Only repayment.

Fixed interest rate home loans

Repayments aren’t affected by variable interest rate changes during your fixed rate term.

 

Fixed rate ending soon? The choice is yours 

2-6 months left

Get a feel for the economy and play with our calculators & tools.

 

6-8 weeks left

View your latest interest rate options in the Westpac App or Online Banking: you can re-fix online, automatically roll onto a variable interest rate with a special discount^^ or split your loan later. We'll mail you a fixed rate expiry letter.

 

2 weeks left

Two weeks out, you can re-fix over the phone, or we can review your rate and options.

 

 Split loan tip #3

Shift up to $30k in extra repayments between your split variable and fixed accounts. Pay less interest by simply moving these extra funds into whichever loan has the higher interest rate (a break cost1 applies for fixed loan prepayments over $30k).

 

Splitting your home loan

Estimate your new repayments

FAQs

You can instantly check your current rate, repayments and balance by signing into the Westpac App or Online Banking and selecting your home loan account. 

Alternatively, you can request a callback or visit a branch.

Get a home loan health check and rate review

Your Westpac home loan’s been designed to evolve with you, and we’re here to help fine-tune your loan so you can become mortgage-free sooner. Remember, there’s no fee to switch between our variable loans, or between Interest Only and Principal & Interest repayments. Call through the Westpac App to skip the security questions (tap Contact us).

 

Helpful resources

Changes to your repayments

Use our calculators to work out how much more your repayments may cost as interest rates rise.

 

Tackle interest rate changes and discover how to own your home sooner.

Tips to get ahead

Tackle interest rate changes and discover how to own your home sooner.

 

Financial hardship and getting help

If you’re concerned about increasing interest rates and meeting your repayments, we’re here to help. Find out more about our financial hardship support, or call us on 1800 067 497 where you’ll talk to a member of Westpac’s dedicated team who can provide tailored support for your situation.

Terms & conditions

Conditions, credit criteria, fees and charges apply. Based on Westpac's credit criteria, residential lending is not available for Non-Australian Resident borrowers.

Key Fact Sheet for Home Loans


This information is general in nature and has been prepared without taking your objectives, needs and overall financial situation into account. For this reason, you should consider the appropriateness of the information to your own circumstances and, if necessary, seek appropriate professional advice.


#Premier Advantage Package: Conditions of Use and $395 annual package fee applies. You must either hold or be approved for a Westpac Choice transaction account in order to qualify and continue to receive the benefits of the Premier Advantage Package. Applicants must have a Westpac Choice transaction account linked to the home loan at the time of settlement and must keep this account open for 60 days after settlement. Before deciding to acquire a Westpac Choice account, read the terms and conditions, and consider whether the product is right for you. Tax consequences may arise from this promotion for investors and customers should seek independent advice on any taxation matters.
Premier Advantage Package Conditions of Use (PDF 89KB)


*Comparison rate: The comparison rate is based on a loan of $150,000 over the term of 25 years. WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.


**Changing repayment amount or frequency: Cannot be performed on an interest-only loan. However, you may make extra repayments. For more details on interest-only home loans


+LVR stands for the loan-to-value ratio. LVR is the amount of your loan compared to the Bank’s valuation of your property offered to secure your loan expressed as a percentage. Home loan rates for new loans are set based on the initial LVR and won’t change during the life of the loan as the LVR changes. 


^Flexi First Option special offer rates with Principal & Interest repayments 

Special offers are only available on new Flexi First Option Home and Investment Loans with Principal & Interest repayments. Discounts do not apply to internal refinances or switches within the Westpac Group, which includes refinances from Westpac, St.George, Bank of Melbourne, BankSA and RAMS. Not available to company and trust account holders. Offer may be varied or withdrawn at any time. Interest rates are subject to change:

  • For a property to live in (Owner occupier): Offer commences 24/11/2023. Includes a 1.64% p.a. discount for two years from the loan settlement date, at the end of the period it will revert to a 1.24% p.a. discount for the life of the loan.​
  • For an investment property:  Offer commences 24/11/2023. Includes a 1.89% p.a. discount for two years from the loan settlement date, at the end of the period it will revert to a 1.49% p.a. discount for the life of the loan. ​

Flexi First Option special offer rates with Interest Only repayments 

Special offers are only available on new Flexi First Option Home and Investment Loans with Interest Only repayments. Discounts do not apply to internal refinances or switches within the Westpac Group, which includes refinances from Westpac, St.George, Bank of Melbourne, BankSA and RAMS. Not available to company and trust account holders. Offer may be varied or withdrawn at any time. Interest rates are subject to change:

  • For a property to live in (Owner Occupier): Offer commences 5/06/2020. Includes a 0.53% p.a. discount off our Flexi First Option Home Loan Variable Rate with Interest Only repayments for the life of loan. Interest rates are subject to change.
  • For an investment property: Offer commences 24/11/2023. Includes a 1.65% p.a. discount for two years from the loan settlement date, at the end of the period it will revert to a 1.25% p.a. discount for the life of loan.​

^^Available for Owner Occupier and Investment Property Loans with Principal & Interest and Interest only repayments. Excludes Line of Credit, Equity Access Loans.


1Break costs on fixed loan prepayments and switching: customers can make total prepayments of up to $30,000 (cumulative) for fixed loans, without costs or fees applying. You may incur a break cost and administration fee if your prepayments exceed this threshold, or if at any time before the end of a fixed rate period you switch to another product, interest rate (fixed or variable) or repayment type.


2Offset is available on a Rocket Repay Home Loan or a Rocket Investment Loan. The same offset transaction account cannot be linked to multiple Rocket Loans. The linked offset transaction account must be in the same name(s) as the loan. Only one offset transaction account can be linked to each Rocket Loan.

 

The interest rates used in the calculator: 

  • are current, as indicated on our home loan interest rate pages;
  • are Westpac's standard interest rates and include any package or promotional discounts; and
  • are subject to change.

 

The output or result of these calculators: 

  • is subject to the assumptions which are subject to change;
  • is prepared without knowing your personal financial circumstances. Before you act on the output of the calculators, please consider if it’s right for you. If you need more information, please call 1300 786 029.  We recommend that you consult your financial adviser before taking out a loan;
  • does not represent either a quote or pre-qualification for a loan;
  • may not be taken into account if you apply for a loan with us as we will make our own calculations. When assessing ability to service a loan, Westpac may use an interest rate that is higher than the current interest rate for the loan requested