NAB made an out-of-cycle hike in variable rates, raising the special rate offer for new occupiers and investors.

The new special offer rates, effective 23 May 2023, are 10bps higher and applies to loans with equal or less than 80% loan-to-value ratio.

Here are the changes:

NAB Loan Product

Advertised Rate

Comparison Rate

Base Variable Rate P&I Special Offer <80%

5.99% p.a.

6.03% p.a.

Investment Base Variable Rate P&I Special Offer <80%

6.34% p.a.

6.38% p.a.

Investment Base Variable Rate IO Special Offer <80%

6.79% p.a.

7.35% p.a.

Earlier this month, NAB raised its standard variable rate by 25bps following the increase in the cash rate. The new rates took effect on 12 May 2023.

NAB also announced recently the end of its cashback offers, the second major bank to do so after CommBank.

According to NAB, new home loans written from 30 June will no longer be eligible for cashback offers. 

NAB’s current cashback offer provide up to $2,000 to eligible borrowers who refinance their existing home loan to NAB.

NAB and CommBank were not explicit with their reasons for ending cashback offers but a spokesperson from the latter said the move was just in response to feedback concerning improving the simplicity of loan terms.