Over the past 12 months, home loan customers with an offset account increased by nearly 10%, while total account balances increased by a similar amount. 

Borrowers with a $500,000, 30-year home loan with an interest rate of 4.50% p.a. who have a starting offset balance of $10,000 and decide to add a $100 deposit into their offset every month could save in excess of $60,000 over the life of their loan. 

Michael Baumann, CommBank Executive General Manager Home Buying, said an interest in finding better ways to save money amid rate rises was one of the main drivers for customers opening offset accounts. 

At Commonwealth Bank, we offer eligible home loan customers the option to take advantage of multiple free offset accounts, which is perfect for those people who like to give their money a specific task and then set it aside into different accounts to ensure it is only used for its designed purpose,” Mr Baumann said. 

The recent growth in offset accounts follows research from earlier this year when over 90% of homeowners said they were preparing for a rate rise before the RBA officially moved. 

Of those, 37% of homeowners said they were putting more money into their offset or redraw facility. 

“We know that one in two CommBank customers are more than three months ahead of their home loan repayments and it is encouraging that the majority of Australian homeowners are taking proactive steps to continue to improve their financial position with rates expected to continue to increase over the next 12 to 18 months,” Mr Baumann said.


According to the RBA’s Statement on Monetary Policy August 2022, net payments into offset and redraw accounts have declined slightly since mid-2021, but remain above pre-pandemic levels. 

Since the start of the pandemic, mortgage borrowers’ payments into offset and redraw accounts have been substantial, totalling around $100 billion.

This equates to roughly 6.25% of annual household disposable income. 


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Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of February 27, 2024. View disclaimer.

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