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ANZ follows Westpac in raising home loan interest rates

ANZ today announced it will increase variable interest home loan rates by 0.16%, citing a sustained rise in wholesale funding costs as well as consideration of business performance and market conditions.

The new rates will be effective 27 September, 2018 and there will be no change to effective rates for home loan customers in drought-declared regional Australia.

ANZ Group Executive Australia Fred Ohlsson said: “This was a difficult decision given we know the impact rising interest rates have on family budgets. The reality is it is more expensive for us to fund our home loans on wholesale markets and we also needed to balance the needs of all stakeholders.

“There is no change to the effective rates of our home loan customers in drought declared regional Australia benefiting more than 70,000 of our customers.

“We wanted to play our part in keeping cash in regional towns impacted by the drought and we hope this will also assist both families and small businesses in these areas,” Mr Ohlsson said.

Customers concerned about rising interest rates can lock in one of ANZ’s competitive fixed rates. ANZ’s two-year fixed home loan rate for owner-occupier Breakfree customers is currently 3.75%pa.

ANZ has a number of options available to help customers concerned about interest rates and their repayments. Customers in need of assistance should contact ANZ.