NAB has today increased the rate of its basic variable mortgage by 0.15 percentage points for new customers with big deposits.

This is the second time the bank has lifted this rate in just over a month, after it went up by 0.10 percentage points on Friday 28 July.

This means the new customer rate for those with big deposits has risen by 0.25 percentage points in this time. Existing customers are not impacted.

Today’s change to NAB’s Base Variable Rate

Deposit sizeOld rateNew rateChange %-pts
20 per cent6.34%6.49%+0.15
Less than 20 per cent7.19%7.19%0.00

Source: Rates are for owner-occupiers paying principal and interest.

As a result of today’s increase, NAB now has the highest basic variable rate out of the big four, even when considering Westpac’s introductory rate of 5.99 per cent for two years only.

Big four banks’ advertised basic variable rates

Rate typeCBAWestpacNABANZ
Basic variable6.34%5.99% for 2yrs

then +0.40%


Source: Rates are for owner-occupiers paying principal and interest. LVR requirements apply.

The big four banks collectively have now increased at least one advertised new customer variable rate on 21 occasions since 1 March 2023, in addition to the standard RBA hikes.

As a result, someone taking out NAB’s lowest rate loan today will pay 0.50 percentage points more than an existing customer who took the same loan out at the start of the year. This assumes the existing customer has not negotiated the loan in this time period.

Variable rate hikes from the big four banks since 1 March 2023

Note: these hikes are in addition to RBA increases

DateBankLoanChange (in addition to RBA hikes) %-pts
1 March 23CBABasic variableup to 0.10
1 Mar + 10Mar 23NABBasic variableup to 0.20
25 March 23CBABasic variableup to 0.70
28 March 23ANZBasic variableup to 0.21
31 March 23CBAPackage loanup to 0.20
13 April 23WestpacBasic variable0.10
14 April 23CBAPackage loanup to 0.12
21 April 23ANZBasic variableup to 0.10
28 April 23NABBasic variableup to 0.05
12 May 23CBABasic + packageup to 0.10
23 May 23NABBasic variableup to 0.10
24 May 23CBAPackage loanup to 0.10
16 June 23CBABasic variableup to 0.10
23 June 23CBAPackage loanup to 0.10
23 June 23WestpacBasic variable0.15
14 July 23CBABasic variableup to 0.07
27 July 23ANZBasic variableup to 0.15
28 July 23NABBasic variableup to 0.10
11 August 23CBABasic variableup to 0.05
30 August 23NABBasic variableup to 0.15


Research from shows that over the last month more lenders have increased variable rates than those that have cut for owner occupiers paying principal and interest.

Cuts vs hikes for owner occupiers paying P&I over the last month

Rate typeLenders that have cutLenders that have hiked

Source: research director, Sally Tindall, said: “Another increase from NAB in just over a month might have some new customers thinking twice about who they want to borrow from.

“As a result of this hike, NAB has the least competitive lowest variable rate out of the big four, in a sign it’s all but walking from the fight for new customers,” she said.

“That said, NAB isn’t the only bank increasing new customer variable rates. Over the last month we’ve seen 26 lenders increase at least one rate for owner occupiers paying down their P&I debt.

“The rising cost of funding has become a thorn in many banks’ sides, however there are still a decent handful of lenders willing to post competitive rates in order to win new business.

“Customers looking for a new home loan should do their research to find the most competitive rate for them,” she said.

Lowest ongoing variable rates available on database

Fire Service Credit Union5.39%
Arab Bank5.45%
First Option Bank5.49%
G&C Mutual5.49%
Pacific Mortgage Group5.54%

Source: Rates are for owner-occupiers paying principal and interest. LVR requirements apply. Note: Fire Services Credit Union loan limited to emergency services professionals and their families in South Australia only.