Like many customer-owned banks in Australia, Regional Australia Bank started out as a credit union, originally serving staff members at the University of New England in Armidale, New South Wales, from 1969.
Since that time, the bank has undergone a series of mergers with other New South Wales-based credit unions, eventually becoming Regional Australia Bank in 2016.
As at May 2025, the bank has 38 branches across regional New South Wales with head offices in Armidale and Port Macquarie, as well as multiple regionally based call centres. Its network extends from the state's North West, Central West, Riverina, Mid-North Coast, and Greater Newcastle regions.
APRA data indicates the institution has around $4.3 billion in residents' assets on its books, placing it just outside the top 10 customer owned banks. However, its pace of growth is strong.
As a licensed ADI (authorised deposit-taking institution), Regional Australia Bank offers the full range of banking services from savings and business accounts, term deposits, credit cards, to lending services, including home loans.
What home loans does Regional Australia Bank offer?
Regional Australia Bank offers both owner occupier and investment home loans and is also a participating lender in the federal government's Home Guarantee Scheme.
See also:
Regional First Home Buyer Guarantee: A Guide
Family Home Guarantee: A Guide
The bank offers flexible home loan options, allowing borrowers to choose a no-frills basic home loan, or one with offset accounts or redraw options. (These options are available to borrowers on variable interest rates only.)
Borrowers can also choose to make principal and interest or interest-only repayments, or have the option of a split loan which can offer the benefits of both. There is also a choice of variable or fixed interest rates.
The table below features Regional Australia Bank's current range of home loan products with notably competitive interest rates:
Lender Home Loan Interest Rate Comparison Rate* Monthly Repayment Repayment type Rate Type Offset Redraw Ongoing Fees Upfront Fees Max LVR Lump Sum Repayment Extra Repayments Split Loan Option Tags Row Tags Features Link Compare Promoted Product Disclosure
You'll note the bank's interest rates vary according to loan-to-value ratio (LVR) - or how much of the property's value you wish to borrow. Borrowers with lower LVRs can secure particularly attractive interest rates, especially those making principal and interest repayments.
How can Regional Australia Bank offer such low interest rates?
Anyone who's been shopping around for low home loan interest rates will note Regional Australia Bank offers among some of the more competitive rates on the market.
The bank's general manager customer Ben Luck says that's because Regional Australia Bank is a member-owned financial institution which means every decision it takes always puts its customers first.
"We're different to our counterparts in the major centres where they've got shareholders," Mr Luck told Savings.com.au.
"Our shareholders are our members so everything we do has always got a member at the front of it."
This means it's main aim is not to make profits to return to shareholders but to serve its members through keeping its rates competitive and its fees low.
Regional Australia Bank doesn't charge home loan application or monthly service fees.
"The other important part is where our profits go," Mr Luck says.
"While we're a not-for-profit organisation, we do make a profit and those profits go back into the communities where we operate so it's about giving back.
"Part of our charter is that we have to give back up to 5% of our profits into the communities where we operate and over the past, probably, 10 or so years, it's probably been more about 10% of profits.
"The rest goes back into continuing to build our products and build out our services that we provide."
Hear more from Ben Luck, speaking to the Savings Tip Jar podcast, in April 2025.
What other home loan features does Regional Austraia Bank offer?
Regional Australia Bank allows its borrowers to choose their own repayment frequency: weekly, fortnightly, or monthly.
Those on variable interest rates can also make extra or advanced repayments to help them pay off their home loan earlier.
See also: Extra and Lump Sum Payment Calculator
Variable-rate borrowers can also add up to eight 100% offset accounts per loan account to assist them to better manage their finances while also reducing the interest they pay.
Regional Australia Bank allows for family members to guarantee a home loan and will lend for both new and established homes as well as for construction purposes.
The bank will extend home loans to borrowers with a minimum deposit of 5% although anyone with under 20% deposit will need to pay Lenders Mortgage Insurance (LMI).
As at May 2025, Regional Australia Bank is offering up to $4,000 cashback for refinancing customers. The cashback offer applies to loan amounts above $250,000 to borrowers with minimum deposits of 20%. (Be aware, conditions apply to cashback offers which can also be withdrawn at any time.)
See also: Home Loan offers and deals
How can you apply for a Regional Australia Bank home loan?
Like many banks, you can apply for a home loan online, with no upfront application fees. If you'd like some assistance with the process, you can call for help on 132 067.
Regional Australia Bank has dedicated relationship managers to provide personalised service and guidance if you need it.
Before you start, you need to:
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be over 16 years of age to apply
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be an Australian resident
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complete the application in a joint sitting if two or more are applicants are applying for a home loan together
You must also be prepared to:
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be a Regional Australia Bank member if your loan is approved
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be clear on how the bank may use your information
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understand the bank's responsibility to applicants through reading Regional Australia Bank's Credit Guide
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answer questions about assets, income, living expenses, other loans, and credit cards (Note: you can save your online application as you go and add details of this information later if needed.)
Savings.com.au's two cents
Regional Australia Bank offers some pretty eye-catching interest rates on its home loans. That's because its main game is not to make profits for its shareholders but to serve its members who also happen to be the owners of the bank.
It also offers low fees and supplies dedicated relationship managers if you're after personalised service or guidance on any aspect of your home loan or other banking services.
Although the Regional Australia Bank's branches are situated in regional New South Wales, the bank's online and mobile banking offerings mean you can apply for a home loan from anywhere in Australia.
Lowering your loan-to-value ratio - if possible - can be particularly worthwhile for Regional Australia Bank borrowers, reducing the interest rate offered and boosting borrowing power.
See also: Home Loan Borrowing Power Calculator and Guide
Image by Anastasiya Gepp via Pexels
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