At its Nov. 1 monetary policy meeting, the Reserve Bank of Australia raised the cash rate target by another 25 basis points, taking it up to 2.85%.
Most of the major banks have since passed the increase on to mortgage borrowers.
All four big banks have responded to the latest OCR hike with a 0.25% lift in their variable home loan interest rates, with the change taking effect on Nov. 11 for ANZ, CBA, and NAB and Nov. 15 for Westpac, ABC reported.
Also passing the RBA hike in full to variable mortgage rate customers were Macquarie and Suncorp, starting Nov. 16 and Nov. 11, respectively.
Following the November OCR hike, RateCity.com.au estimated the average existing variable owner-occupier rate to be at 5.61%.
The Reserve Bank is expecting to increase rates further, but it’s unclear by how much, ABC reported.
“The size and timing of future interest rate increases will continue to be determined by the incoming data and the Board’s assessment of the outlook for inflation and the labour market,” RBA governor Phillip Lowe said in a statement after this month’s meeting. “The board remains resolute in its determination to return inflation to target and will do what is necessary to achieve that.”
