Non-major lender Macquarie
Bank and major bank subsidiary St George have become the latest lenders to announce variable interest rate hikes, following the major banks.
In communication sent to mortgage brokers obtained by Australian Broker
Bank announced it will increase its variable home loan rates for all products by 20 basis points “in response to market conditions”. Effective 20 November, the standard variable rate for owner-occupied loans will rise to 5.70% and the investment variable rate will increase to 5.97% for investment loans.
St George announced it would be increasing its variable rate home loans by 15 basis points, also effective 20 November. The standard variable rate for owner-occupied loans will be increased to 5.69%, while the standard variable rate for investment loan will be increased to 5.94%.
In the communication to brokers obtained by Australian Broker
, St George said the rate hikes “will partially offset the cost of fulfilling changed regulatory requirements that will increase the amount of capital that needs to be held against mortgages.”