The Highest Savings Rates and Lowest Home Loan Rates For November 2022

The Reserve Bank of Australia has hiked the cash rate for the seventh month in a row this November, causing more pain for homeowners, but celebration for savers.

With the cash rate now sitting at 2.85%, 275 basis points higher than it was in April 2022, millions of Australians are likely on the hunt for the best interest-rate deals for their needs and budgets.

If you’re repaying a home loan at a variable rate, chances are that your repayments are much higher than they were only a few months ago. However, with most mortgage hikes taking around 20-30 days to kick in from when you receive your notification letter, there could be more budget squeezing to come.

And if you locked in a fixed rate before the latest hikes, you may be looking out at the market and wondering how to shelter your budget from the dramatic jump in mortgage repayments on the horizon. If either of these scenarios sound familiar, you may want to consider comparing your options and comparing lower-rate home loans.

Meanwhile, savings accounts and term deposits are being offered with interest rates starting with a ‘4’ for the first time in years. So, if you’re still earning near-zero interest, it may be worth shopping around for a more competitive option.

Lowest variable rate home loans for owner-occupiers

In a rising rate environment, if you currently live in the home that you own but are struggling with meeting your mortgage repayments, it may be worth comparing your options and considering refinancing.

Keep in mind that if you’re on a fixed rate, it’s worth comparing your options two to three months before the fixed period ends, as settlement can take some time.

At the time of writing, the RateCity database shows that the following variable rate home loans (paying principal and interest) are the lowest on offer for owner-occupiers following the November rate hike:

1.   Bank First Complete Home Loan – 4.19% (comparison rate 4.22%)

2.       Bank Australia Basic Home Loan – 4.24% (comparison rate 4.28%)

3.       Hume Bank liteBlue Variable Home Loan – 4.24% (comparison rate 4.24%)

Note: These are the lowest rates scheduled to come into effect following the November cash rate hike. At the time of publishing, some rates may not be live yet.

Lowest variable rate home loans for investors

If rising rates and higher expenses are eating away at your potential investment yield, it may be worth looking into lower-rate options for your mortgage. While interest repayments can be considered a tax deduction for investors, it’s still money out of your pocket each repayment cycle.

At the time of writing, the RateCity database shows that the following variable rate home loans (paying principal and interest) are the lowest on offer for investors following the November rate hike:

1.       Bank Australia Basic Home Loan – 4.54% (comparison rate 4.58%)

2.       Hume Bank liteBlue Variable Home Loan – 4.59% (comparison rate 4.59%)

3.   Bank First Complete Home Loan – 4.59% (comparison rate 4.62%)

Note: These are the lowest rates scheduled to come into effect following the November cash rate hike. At the time of publishing, some rates may not be live yet.

High-interest savings accounts

The one good piece of news about higher interest rates is that it typically results in higher rates offered on savings products. And after years of near-zero interest rates, any improvement is worth celebrating.

Whether you’re a set-and-forget saver or you work the conditions to earn the highest rate, it’s important not to get complacent about your savings account, as there could be higher rates available.

At the time of writing, these are the highest interest rates offered on savings accounts on the RateCity database following the November rate hike:

1.   ING Savings Maximiser – 4.30%

2.      MOVE Bank Growth Saver – 4.00%

3.      St.George/BOM/BankSA Incentive Saver – 4.00%

High-interest 12-month term deposits

There are several term deposits on the RateCity database now offering rates starting with a ‘4’. If you’re wondering how much you could earn by locking away your funds on a fixed term rate, our research shows that with a $20,000 balance on a 12-month term, you could earn an additional $840 on your nest egg in just a year.

At the time of writing, these are the highest interest rates offered on 12-month term deposits on the RateCity database (for all adults – no age cap) following the November cash rate hike:

1.      G&C Mutual Bank 12-month term deposit – 4.20%

2.  Gateway Bank 12-month term deposit – 4.20%

3.  Judo Bank 12-month term deposit – 4.20%