The Reserve Bank of Australia (RBA) increased the cash rate to 3.35% in its February 2023 monetary policy meeting. Which of the big banks are passing on the 25bps increase to its borrowers and savers?


ANZ will be passing on the 25bps rate hike to its home loan borrowers, effective 17 February 2023. 

Based on ANZ's calculations, the 25bps increase in cash rate will increase monthly repayments by $66 on a variable home loan valued at $450,000 for owner-occupiers paying principal and interest.

ANZ will also be increasing the savings rate under its ANZ Plus Save account for balances less than $250,000 by 25bps to 4% p.a., effective 14 February 2023.

Recently, ANZ increased the rate available on a new 12-month Advance Notice term deposit to 4.10% p.a.

The rates of other deposit rates are still in review.

ANZ group executive for Australia retail Maile Carnegie said some customers will likely feel greater financial pressure as borrowing rates increased again. 

"We urge anyone facing difficulties to speak with our expert teams to discuss the options available to support them and their specific circumstances as early as possible," she said. 

Customers who would like assistance should visit any ANZ branch, contact their local ANZ Mobile Lender, log on to, or call 13 13 14.


NAB is the second major bank to announce changes in its rates following RBA's rate hike. 

The bank will be passing on the 25bps rate increase to its borrowers with variable rates starting 17 February 2023.

NAB's savings and deposit rates, on the other hand are under review. According to the bank, it has made more than 50 increases across its savings products over the past nine months. 

NAB group executive for personal banking Rachel Slade said people are more engaged with their finances than they have been in a long time.

"At NAB, we have a dedicated team who take the time to listen to each customer’s individual situation and are able to offer tailored solutions – whether that’s reduced payment arrangements, payment breaks or restructuring their loan," she said. 


CommBank is passing on the 25bps rate hike on its home loan borrowers, with variable rates slated to increase by 17 February 2023. 

The bank will also increase the interest rates across a number of its savings products by up to 75bps p.a.

Here are the notable changes to its savings and deposit rates:

  • GoalSaver will now bear a rate of 4% p.a, effective 10 February. 
  • YouthSaver will now have an interest rate of 4% p.a., effective 10 February.
  • Availability of 12-Term Deposit special of 4% p.a. will be extended. 

CommBank group executive for retail banking Angus Sullivan said the savings rates increases build on the higher rates the bank has announced across a number of savings products during the past few months. 

“Our comprehensive range of savings products mean that customers can get more from their savings by choosing a product that best suits their needs," he said. 

“We want any customer who would like to talk about their individual situation to message us in the CommBank app to explore different support options with one of our specialists – starting that conversation early can help alleviate concerns and allow us to work together to find solutions."


Westpac is increasing its variable rates by 25bps, effective 21 February. 

It will also be increasing some of its savings and deposit rates:

  • Westpac Life total variable rate with bonus interest will increase by 0.25% p.a. to 4.00% p.a.
  • Westpac eSaver total variable rate will increase by 0.25% p.a. to 4.00% p.a. for new customers for the first five months.
  • This is in addition to a current 12-month Term Deposit offer of up to 4.10% p.a. available for Westpac customers that open or renew online.

Zippy Financial director and principal broker Louisa Sanghera said despite the increase in rates, it appears the sector was already preparing for a reduction in interest rates on the horizon.

“Variable interest rates are coming down right now, plus, pricing is getting sharper and more competitive at the moment,” Ms Sanghera said.

“Fixed rates are also a bit more stable with some lenders even reducing fixed rates at the end of last year.”

Ms Sanghera said with house prices falling and consumer spending slowing down, it might be time for the RBA to take a breather to fully assess the impacts of the past nine rate hikes.

“The RBA has given each rate rise time to flow through the market before moving again in years gone by,” she said.

“Not this time, though, with the rate hikes resembling a financial sledgehammer on mortgage holders, which one can’t help but wonder is more about remedying the RBA’s false low rate promises during the pandemic than reasoned and sound monetary policy management.”