‘Gut punch’: Australian mortgage holders hit as big four banks lift interest rates from Friday

Key points

• Australia’s big four banks will raise interest rates for variable mortgage holders from Friday, following the Reserve Bank’s latest hike. The Commonwealth Bank’s new rate will be 6.34 per cent, NAB’s between 6.29-7.04 per cent, and ANZ’s 6.50 per cent.
• Westpac’s lowest rate will now be 6.24 per cent. Compare the Market estimates the average mortgage holder with a $731,000 loan will pay $5568 more annually.
• The Reserve Bank governor said the hike was necessary to control inflation, which is currently 3.5 per cent.