Home News RBA rate cut May 2025: Is your lender passing it on?

RBA rate cut May 2025: Is your lender passing it on?

Australia's cash rate has been cut for the second time this year. Find out if your lender is passing the cut on with Savings.com.au's comprehensive list of home loan rate cut announcements.

By Dominic Beattie

First published on 20 May 2025

RBA rate cut May 2025: Is your lender passing it on?

The Reserve Bank of Australia (RBA) has cut the cash rate by 25 basis points in May, taking it down from 4.10% to 3.85% p.a.

Savings.com.au will provide rolling updates below of each lenders' announcements regarding passing on this May 2025 rate cut to variable-rate home loans.

Which banks and lenders will cut variable interest rates?

All cuts below refer to lenders’ responses to the RBA’s rate cut on May 20 2025.

Last updated: 30/05/2025.

Key notes:

P&I = Principal and Interest, IO= Interest Only, OO=Owner-occupiers
Basis points explained: 1 basis point = 0.01%
New lowest advertised variable rates: Excludes introductory & honeymoon rates and package rates. Rates are correct at the time of the last update to this page. Lowest rates will only be listed if they are currently available and new (i.e. the rate became that lender’s lowest rate after some or all of the RBA’s May cash rate cut were passed on).

Keep updated.

Subscribe for rate change alerts.

Select a Lender:

By subscribing you agree to our privacy policy

Adelaide Bank interest rate cut

AMP Bank interest rate cut

ANZ interest rate cut

Arab Bank Australia interest rate cut

Athena interest rate cut

Australian Military Bank interest rate cut

Australian Mutual Bank interest rate cut

Australian Unity Bank interest rate cut

Auswide Bank interest rate cut

Bank Australia interest rate cut

Bank of Melbourne interest rate cut

Bank of Queensland (BoQ) interest rate cut

Bank of Sydney interest rate cut

Bank of Us interest rate cut

Bank First interest rate cut

BankSA interest rate cut

BankVic interest rate cut

Bankwest interest rate cut

BCU Bank interest rate cut

Bendigo Bank interest rate cut

Beyond Bank interest rate cut

Commonwealth Bank interest rate cut

Credit Union SA interest rate cut

Defence Bank interest rate cut

Firstmac interest rate cut

G&C Mutual Bank interest rate cut

Gateway Bank interest rate cut

Geelong Bank interest rate cut

Goulburn Murray Credit Union interest rate cut

Great Southern Bank interest rate cut

Greater Bank interest rate cut

Heritage interest rate cut

Homeloans.com.au interest rate cut

Homestar Finance interest rate cut

Horizon Bank interest rate cut

HSBC interest rate cut

Hume Bank interest rate cut (pending)

Illawarra Credit Union interest rate cut

IMB Bank interest rate cut

ING interest rate cut

Loans.com.au interest rate cut

Macquarie Bank interest rate cut

ME Bank interest rate cut

MOVE Bank interest rate cut

MyState Bank interest rate cut

NAB interest rate cut

Newcastle Permanent interest rate cut

P&N Bank interest rate cut

People's Choice interest rate cut

Pepper Money interest rate cut

Police Credit Union interest rate cut (pending)

QBank interest rate cut

Qudos Bank interest rate cut

RACQ Bank interest rate cut

RAMS interest rate cut

Reduce Home Loans interest rate cut (pending)

Regional Australia Bank interest rate cut

Resimac interest rate cut

St George interest rate cut

State Custodians interest rate cut

Summerland Bank interest rate cut

Suncorp interest rate cut

Teachers Mutual Bank interest rate cut

The Mutual Bank interest rate cut

Tiimely Home interest rate cut

Ubank interest rate cut

UniBank interest rate cut

Unloan interest rate cut

Virgin Money interest rate cut

Well Home Loans interest rate cut (pending)

Westpac interest rate cut

Wlth interest rate cut (pending)

Yard interest rate cut

Yellow Brick Road interest rate cut (pending)

Adelaide Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 21 May
Effective date: 6 June
New lowest advertised variable rate:
Other info:

AMP interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 2 June
New lowest advertised variable rate:
Other info:

ANZ interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 30 May
New lowest advertised variable rate:
Other info:

ANZ home loan rates

Arab Bank Australia interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate residential home loans
Announcement date: 22 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Athena interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 20 May
New lowest advertised variable rate: 5.79% p.a. (5.77% p.a. comparison rate*)
Other info: “At a time when the cost of living crisis continues to challenge so many Aussies, acting swiftly to bring some relief to home loaners has to be a priority for all lenders – and it certainly is for Athena.” - Nathan Walsh, Co-founder and CEO, Athena Home Loans

Athena home loan rates

Australian Military Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 22 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Australian Mutual Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 21 May
Effective date: 1 June
New lowest advertised variable rate:
Other info:

Australian Unity Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans for existing customers and 20 basis point cut for new customers
Announcement date: 22 May
Effective date: 4 June
New lowest advertised variable rate:
Other info:

Auswide Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 22 May
Effective date: 5 June
New lowest advertised variable rate:
Other info:

Bank Australia interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 21 May
Effective date: 2 June
New lowest advertised variable rate:
Other info:

Bank First interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 21 May
Effective date: 29 June
New lowest advertised variable rate:
Other info:

Bank of Melbourne interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Bank of Queensland (BoQ) interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 21 May
Effective date: 6 June
New lowest advertised variable rate:
Other info:

Bank of Sydney interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 22 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Bank of Us interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans to existing borrowers
Announcement date: 22 May
Effective date: 11 June
New lowest advertised variable rate:
Other info: Announcement on new lending interest rates to come

BankSA interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

BankVic interest rate cut

Rate cut: 25 basis points
Applies to: variable-rate home loans
Announcement date: 20 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Bankwest interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 30 May
New lowest advertised variable rate: 5.84% p.a. (5.87% p.a. comparison rate*)
Other info:

BCU Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 22 May
Effective date: 10 June
New lowest advertised variable rate:
Other info:

Bendigo Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 21 May
Effective date: 6 June
New lowest advertised variable rate:
Other info:

Bendigo Bank home loan rates

Beyond Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 22 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Commonwealth Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 30 May
New lowest advertised variable rate: (5.59% p.a. comparison rate*)
Other info:

Commonwealth Bank home loan rates

Credit Union SA interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 23 May
Effective date: 4 June
New lowest advertised variable rate:
Other info:

Defence Bank interest rate cut

Rate cut: 25 basis points
Applies to: New and existing home loan rates
Announcement date: 22 May
Effective date: 28 May
New lowest advertised variable rate: 5.74% p.a. (5.74% p.a. comparison rate*)
Other info:

Firstmac interest rate cut

Rate cut: 25 basis points
Applies to: variable interest rates for existing customers
Announcement date: 22 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

G&C Mutual Bank interest rate cut

Rate cut: 25 basis points
Applies to: all new and existing home loan rates
Announcement date: 23 May
Effective date: 1 June
New lowest advertised variable rate:
Other info:

Gateway Bank interest rate cut

Rate cut: 25 basis points
Applies to: all new and existing home loan rates
Announcement date: 22 May
Effective date: 27 May
New lowest advertised variable rate: 5.74% p.a. (6.03% p.a. comparison rate*)
Other info:

Geelong Bank interest rate cut

Rate cut: 25 basis points
Applies to: variable home loan rates
Announcement date: 22 May
Effective date: 30 May
New lowest advertised variable rate: 5.64% p.a. (6.47% p.a. comparison rate*)
Other info:

Goulburn Murray Credit Union interest rate cut

Rate cut: 25 basis points
Applies to: variable home loan rates
Announcement date: 23 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Great Southern Bank interest rate cut

Rate cut: 25 basis points
Applies to: Most variable-rate home loans for owner-occupiers and investors
Announcement date: 20 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Greater Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 30 May
New lowest advertised variable rate: 5.49% p.a. (5.50% p.a. comparison rate*)
Other info:

Homestar Finance interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans for existing customers
Announcement date: 22 May
Effective date: 16 June
New lowest advertised variable rate:
Other info:

HSBC interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 21 May
Effective date: 2 June
New lowest advertised variable rate:
Other info:

Heritage Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 30 May
New lowest advertised variable rate: 5.49% p.a. (5.51% p.a. comparison rate*)
Other info:

Homeloans.com.au interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 11 June
New lowest advertised variable rate:
Other info:

Horizon Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 23 May
Effective date: 23 May
New lowest advertised variable rate: : 5.39% p.a. (6.09% p.a. comparison rate*)
Other info:

Illawarra Credit Union interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 22 May
Effective date: 4 June
New lowest advertised variable rate:
Other info:

IMB Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 22 May
Effective date: 30 May
New lowest advertised variable rate: 5.54% p.a. (5.57% p.a. comparison rate*)
Other info:

ING Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

ING Bank home loan rates

Loans.com.au interest rate cut

Rate cut: 25 basis points
Applies to: variable interest rates for existing customers
Announcement date: 22 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Loans.com.au home loan rates

Macquarie Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 20 May
Effective date: 23 May
New lowest advertised variable rate: 5.64% p.a. (5.66% p.a comparison rate*)
Other info:

Macquarie Bank home loan rates

ME Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 21 May
Effective date: 7 June
New lowest advertised variable rate:
Other info:

MOVE Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 23 May
Effective date: 1 June
New lowest advertised variable rate:
Other info:

MyState Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 22 May
Effective date: 5 June
New lowest advertised variable rate:
Other info:

NAB interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 20 May
Effective date: 30 May
New lowest advertised variable rate: 5.94% p.a. (5.98% p.a. comparison rate*)
Other info:

NAB home loan rates

Newcastle Permanent interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 30 May
New lowest advertised variable rate: 5.49% p.a. (5.53% p.a. comparison rate*)
Other info:

P&N Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 21 May
Effective date: 10 June
New lowest advertised variable rate:
Other info:

People's Choice interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 30 May
New lowest advertised variable rate: 5.39% p.a. (5.40% p.a. comparison rate*)
Other info:

Pepper Money interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 20 May
Effective date: 5 June
New lowest advertised variable rate:
Other info:

QBank interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 22 May
Effective date: 6 June
New lowest advertised variable rate:
Other info:

Qudos Bank interest rate cut

Rate cut: 25 basis points
Applies to: All variable rate home loans (new and existing customers)
Announcement date: 20 May
Effective date: 29 May
New lowest advertised variable rate: 5.44% p.a. (5.44% p.a. comparison rate*)
Other info:

RACQ Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 20 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

RAMS interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 23 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Regional Australia Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 20 May
Effective date: 4 June
New lowest advertised variable rate:
Other info:

Regional Australia Bank home loan rates

Resimac Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 20 May
Effective date: 11 June
New lowest advertised variable rate:
Other info:

St George interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Summerland Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 23 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

State Custodians interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 23 May
Effective date: 11 June
New lowest advertised variable rate:
Other info:

Suncorp Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 20 May
Effective date: 30 May
New lowest advertised variable rate: 5.64% p.a. (5.65% p.a. comparison rate*)
Other info:

Teachers Mutual Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 21 May
Effective date: 1 June
New lowest advertised variable rate:
Other info:

The Mutual Bank interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 20 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Tiimely Home interest rate cut

Rate cut: 25 basis points
Applies to: new and existing variable-rate home loans
Announcement date: 22 May
Effective date: 6 June
New lowest advertised variable rate:
Other info:

Ubank interest rate cut

Rate cut: 25 basis points
Applies to: Neat and Flex standard variable rate home loans
Announcement date: 21 May
Effective date: 29 May
New lowest advertised variable rate: 5.64% p.a. (5.66% p.a. comparison rate*)
Other info:

UniBank interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 21 May
Effective date: 1 June
New lowest advertised variable rate:
Other info:

Unloan interest rate cut

Rate cut: 25 basis points
Applies to: Variable rate home loans
Announcement date: 20 May
Effective date: 20 May
New lowest advertised variable rate: 5.49% p.a. (5.40% p.a. comparison rate*)
Other info:

Virgin Money interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 21 May
Effective date: 6 June
New lowest advertised variable rate:
Other info:

Westpac interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: 20 May
Effective date: 3 June
New lowest advertised variable rate:
Other info:

Westpac home loan rates

Yard interest rate cut

Rate cut: 25 basis points
Applies to: Variable-rate home loans
Announcement date: TBC
Effective date: 6 June
New lowest advertised variable rate: 5.64% p.a. (5.66% p.a. comparison rate*)
Other info:

Ready, Set, Buy!

Learn everything you need to know about buying property – from choosing the right property and home loan, to the purchasing process, tips to save money and more!

With bonus Q&A sheet and Crossword!

By subscribing you agree to our privacy policy

Dominic Beattie

Dominic Beattie is the Editor of Savings.com.au, Group Editor for the wider InfoChoice Group, and host of The Savings Tip Jar podcast alongside Harrison Astbury. Previously working as a finance journalist, Dominic has been publishing articles on finance, business and economics since 2015, and helped launch Savings.com.au as finance news and comparison site in 2018.

Articles

The entire market was not considered in selecting the above products. Rather, a cut-down portion of the market has been considered. Some providers' products may not be available in all states. To be considered, the product and rate must be clearly published on the product provider's web site. Savings.com.au, yourmortgage.com.au, yourinvestmentpropertymag.com.au, and Performance Drive are part of the InfoChoice Group. In the interests of full disclosure, the InfoChoice Group are associated with the Firstmac Group. Read about how InfoChoice Group manages potential conflicts of interest, along how we get paid.

Savings.com.au Pty Ltd ACN 161 358 363 operates as an Australian Financial Services Licensee and an Australian Credit Licensee Number 515843. Savings.com.au is a general information provider and in giving you general product information, Savings.com.au is not making any suggestion or recommendation about any particular product and all market products may not be considered. If you decide to apply for a credit product listed on Savings.com.au, you will deal directly with a credit provider, and not with Savings.com.au. Rates and product information should be confirmed with the relevant credit provider. For more information, read Savings.com.au's Financial Services and Credit Guide (FSCG). The information provided constitutes information which is general in nature and has not taken into account any of your personal objectives, financial situation, or needs. Savings.com.au may receive a fee for products displayed.

Explore the InfoChoice Group network: InfoChoice · Your Mortgage · Your Investment Property · Performance Drive

Our company, Savings.com.au, has obtained accreditation as a data recipient for the Consumer Data Right (CDR). You can view our CDR policy by clicking on this link.

Important information

Savings.com.au provides general information and comparison services to help you make informed financial decisions. We do not cover every product or provider in the market. Our service is free to you because we receive compensation from product providers for sponsored placements, advertisements, and referrals. Importantly, these commercial relationships do not influence our editorial integrity.

For more detailed information, please refer to our How We Get Paid, Managing Conflicts of Interest, and Editorial Guidelines pages.

Editorial Integrity

At Savings.com.au, we are passionate about helping Australians make informed financial decisions. Our dedicated editorial team works tirelessly to provide you with accurate, relevant, and unbiased information. We pride ourselves on maintaining a strict separation between our editorial and commercial teams, ensuring that the content you read is based purely on merit and not influenced by commercial interests.

Learn more about our commitment to editorial integrity in our Editorial Guidelines.

Advertiser Disclosure

Our service is free for you, thanks to support from our partners through sponsored placements, ads, and referrals. We earn compensation by promoting products, referring you, or when you click on a product link. You might also see ads in emails, sponsored content, or directly on our site.

For more details, see How We Get Paid.

Product Coverage and Sort Order

We strive to cover a broad range of products, providers, and services; however, we do not cover the entire market. Products in our comparison tables are sorted based on various factors, including product features, interest rates, fees, popularity, and commercial arrangements.

Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes.

Additionally, certain products may present forms designed to refer you to associated companies (e.g. our mortgage broker partner) who may be able to assist you with products from the brand you selected. We may receive a fee for this referral.

You can customise your search using our sorting and filtering tools to prioritise what matters most to you, although we do not compare all features and some results associated with commercial arrangements may still appear.

For more details, visit How We Get Paid and Managing Conflicts of Interest.

Comparison Rate Warning and Base Criteria

For home loans, the base criteria include a $500,000 loan amount over 30 years. For car loans, the base criteria include a $30,000 loan over 5 years. For personal loans, the base criteria include a $20,000 loan over 5 years. These rates are only examples and may not include all fees and charges.

*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.

Monthly Repayment Figures

Monthly repayment figures are estimates that exclude fees. These estimates are based on the advertised rates for the specified term and loan amount. Actual repayments will depend on your circumstances and interest rate changes.

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.

Related Brands

Savings.com.au is proudly part of the InfoChoice Group, which includes InfoChoice.com.au, YourMortgage.com.au, YourInvestmentPropertyMag.com.au, and PerformanceDrive.com.au. The InfoChoice Group is associated with the Firstmac Group.

We may include products and services from loans.com.au, CarLoans.com.au, OnlineAuto.com.au, and YourMortgageBroker Pty Ltd, all associated with the Firstmac Group. Importantly, these brands are treated like any other commercial partner.

Learn more about how we manage conflicts of interest.

General Advice Disclosure

The information provided by Savings.com.au is general in nature and does not take into account your personal objectives, financial situation, or needs. We recommend seeking independent financial advice before making any financial decisions. Before acquiring any financial product, obtain and read the relevant Product Disclosure Statement (PDS), Target Market Determination (TMD), and any other offer documents.

Rates and product information should be confirmed with the relevant credit provider. For more information, read Savings.com.au’s Financial Services and Credit Guide (FSCG).