A major bank has announced interest rate increases across its broker-originated variable rate home loans, folliowing an increase to its direct variable home loan rates.
Effective 12 November,
NAB Broker announced it will increase the interest rate on all new and existing variable rate home loans by 17 basis points to 5.63%.
According to NAB Broker general manager, Steve Kane, the decision is in response to regulatory changes on capital requirements and the increased costs associated with providing home loans.
“We operate in a dynamic and highly regulated home loan market and a number of lenders are making changes to meet regulatory obligations,” he said.
“We believe this is the right decision for the long term and brokers are in a prime position to support customers through this change and provide them with the advice they need.”
Last week, NAB announced it will increase the interest rate on all new and existing variable rate home loans through its branches by 17 basis points to 5.60%. This means that NAB Broker variable rates are 3 basis points higher than NAB’s direct rates.
