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Home loans - Interest rate news

Changes to our variable interest rates

Effective Friday, 30 June 2017, St.George will be adjusting the following variable home loan rates:

  • Owner Occupier^ Principal & Interest Home Loan variable rate decreasing by 0.08%p.a. to 5.22%p.a. (comparison rate 5.39%p.a.*)

  • Owner Occupier^ Interest Only Home Loan variable rate increasing by 0.31%p.a. to 5.81%p.a. (comparison rate 5.97%p.a.*)

  • Residential Investment Interest Only Home Loan variable rate increasing by 0.34%p.a. to 6.32%p.a. (comparison rate 6.48%p.a.*)

  • Portfolio loan variable rate increasing by 0.34%p.a. to 6.44%p.a.

At St George, we are passionate about helping more Australians into their homes. We hope the rate reduction will encourage owner occupier customers with interest only home loans to switch to principal and interest repayments, helping them to pay down their home loan in this low interest rate environment.

APRA’s limit on new interest only lending is 30% of new residential mortgage lending. We continue to adjust our interest only rates and lending policies to assist us in meeting this benchmark.

Switching from interest only to principal and interest repayments

We offer lower interest rates to customers who make principal and interest repayments to encourage them to pay down their debt and own their home faster.

If you wish to pay your home loan sooner by switching to principal and interest repayments, you can do so without paying a switch fee by contacting us on 13 33 30 and we’ll talk through your options.

Impact on my repayments?

Variable Interest Rate Home Loans

If you are currently paying interest only repayments on your home loan

Your repayments are adjusted automatically. The repayments will change from the first repayment date after the interest rate change becomes effective.

If you are currently paying principal and interest repayments on your home loan

The contractual repayments will be adjusted and letters will be sent to our customers.  These will detail both the new minimum monthly repayment amount and the date the new repayment commences, ensuring there is time for our customers to adjust arrangements.

Fixed interest rates home loans 

Repayments are not affected by variable interest rate changes during the fixed period of a home loan.


Credit criteria, fees and charges, terms & conditions apply. Based on St.George Bank credit criteria, residential lending is not available for Non-Australian resident borrowers.

^ Excludes investment loan applications where the principal property securing the loan will be used to derive rental income or where the loan application purpose is to invest in real estate or to construct or make improvements to an investment property.

*Comparison rates are based on a loan of $150,000 over a term of 25 years.

WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.