What’s Happening with Mortgage Rates?
Recently, the Reserve Bank of Australia (RBA) raised the official cash rate — a move that typically leads to higher mortgage costs for homeowners. However, not all banks have immediately passed this increase on to their customers yet, and some lenders are slower than others in adjusting their rates. This can feel confusing and even frustrating if you’re trying to plan your financial future.
At MyMoneyMedic (MMM), we understand that financial change — especially around mortgage repayments — can trigger real stress. That’s why we’re here with clarity, hope, and positivity, helping you understand what this means for your money and how you can navigate it.
💡 Why Some Banks Haven’t Passed on the Rate Hike
After the RBA lifts the cash rate, most lenders eventually adjust their mortgage interest rates too. However, the timing varies:
- Smaller lenders and alternative lenders often take longer to move.
- Some banks may delay changes to support customers or stay competitive.
- Meanwhile, the big four banks (like Commonwealth Bank and Westpac) typically pass on rate hikes more quickly.
Here’s a snapshot of lenders that had not yet passed on the latest hike at the time of reporting: AMP, Aussie, Bank Australia, BankVic, Bendigo Bank, ING, NAB, Ubank, and many more smaller institutions.
This doesn’t mean these lenders won’t update their rates — usually they will, but the timeline can vary more than it does with larger banks.
📈 What This Means for Your Finances
Even if your bank has not increased your mortgage rate yet, the broader trend is that interest rate rises eventually get reflected in what borrowers pay. More importantly:
- Delays can offer temporary breathing room on monthly repayments.
- But future increases may still come, so planning ahead matters.
- Staying informed about your lender’s actions gives you decision-making power.
Here are three practical ways to turn uncertainty into clarity:
🛠️ Tips to Stay in Control
- Check Your Mortgage Pricing – Log into your bank’s portal or speak with your broker to see if your rate has changed or is scheduled to change soon.
- Review Your Budget – Use tools like MMM to see how potential rate rises might affect your cash flow and priorities.
- Compare Lenders – If your bank is slow to pass on changes, another lender might offer a more competitive rate.
💡 Tip: A bigger focus on budgeting and savings now can cushion future changes if your mortgage rate rises later.
🎥 Interest rates: RBA concedes hike to 3.85% is ‘not the news mortgage holders want to hear.’
The governor of the Reserve Bank of Australia (RBA), Michele Bullock, says she empathises with mortgage holders but defends Tuesday’s decision to lift the cash rate for the first time in more than two years. ‘Now, I know this is not the news that Australians with mortgages want to hear, but it is the right thing for the economy,’ says the governor
📱 Stay Ahead with the MyMoneyMedic App
Feeling uncertain about mortgage rate changes? Let the MyMoneyMedic App be your partner in financial clarity:
👉 Track your income and repayments
👉 Build a flexible budget that absorbs rate changes
👉 See personalised insights to reduce financial stress
👉 Get tips on saving, borrowing smarter, and planning ahead
Download the MyMoneyMedic App on Google Play or Apple App Store and take control of your money with confidence.
We’re still improving the app & would love your feedback. Share your thoughts with us here:
💭 Final Thoughts: Hope Through Preparedness
Remember, lenders passing on mortgage rate changes — or delaying them — isn’t something to fear. Instead, it’s an opportunity to look ahead with clarity. By understanding what’s happening, planning smartly, and using tools designed for your wellbeing, you can navigate financial shifts with resilience and optimism.
Your financial journey is yours — and with the right support, you can face change with confidence, not concern.
