How much could I save from a 0.25% RBA rate cut?

The mortgage savings depend on your loan amount, current interest rate and remaining loan term. Enter your current and new rate to estimate weekly, monthly and yearly savings from a 0.25% rate cut or any other rate change.

Can this calculator show both rate cuts and rate rises?

Yes. If the new rate is lower than the previous rate, the calculator shows estimated savings. If the new rate is higher, it shows the additional repayment cost.

When will I see an RBA rate cut in my mortgage payments?

Banks decide whether and when to pass on RBA cash-rate changes. Variable mortgage payments usually adjust after your lender announces its new rate and applies it to your next payment cycle.

How do I calculate mortgage savings from an interest rate reduction or rate drop?

Enter your loan balance, previous rate, new lower rate and remaining loan term. The calculator compares the repayments and shows the estimated weekly, monthly, yearly and total interest savings.

Does the calculator use my bank's actual home loan rate?

No. The calculator uses the rates you enter, so you can compare your actual lender rate before and after a rate cut, rate rise or refinancing offer.

🏠Calculate your home loan repayments with our Mortgage Calculator

RBA Rate Cut Calculator

Model how an RBA cash-rate change could affect your home loan repayments. Defaults to the 29 September 2026 RBA decision, which raised the cash rate target by 0.25 percentage points from 4.35% to 4.60%, effective 30 September 2026. Adjust the rates to test cuts, rises or refinancing scenarios. Updated 29 September 2026

Rate Change Impact Calculator

Estimate the impact

Enter your loan balance and your lender's rates to estimate the change in repayments

Previous Rate (%)

New Rate (%)

Loan Term (Years)

Defaults illustrate the RBA cash-rate rise from 4.35% to 4.60%. Your home loan rates and the date your lender applies any change may differ.

Period	Additional Cost
Weekly	$0
Monthly	$0
Yearly	$0
Total additional cost over loan term	$0

Additional Cost Breakdown

Monthly Repayment Comparison

Your monthly repayments will increase by 0%

What if rates change further?

If rates increase another 0.25%

+$90 monthly

If rates drop 0.25%

$89 monthly savings

If rates drop 0.50%

$177 monthly savings

For more details, see the latest RBA media release.

Tips to manage higher rates

Review your household budget to accommodate the higher repayments

Consider using an offset account to reduce your interest charges

Compare rates from different lenders - refinancing could help reduce costs

Speak to your bank about hardship options if you're struggling with repayments

Disclaimer: This calculation assumes monthly payments, covering both principal and interest, with no changes in bank fees. The information provided is general and should not be considered specific financial advice. For personalized advice on loan repayments, please consult your lender. This tool provides estimates only.

Home Loan Impact Reference

Updated 29 September 2026

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Calculate your full mortgage repayments with our mortgage calculator

Loan Amount	Monthly Change	Annual Change
$100,000	+$15	+$180
$250,000	+$37	+$444
$500,000	+$74	+$888
$750,000	+$111	+$1,332
$1,000,000	+$148	+$1,776
$1,500,000	+$222	+$2,664
$2,000,000	+$297	+$3,564
$2,500,000	+$371	+$4,452
$3,000,000	+$445	+$5,340
$3,500,000	+$519	+$6,228
$4,000,000	+$593	+$7,116

*Illustrative repayment increases using rates of 4.35% and 4.60% over a 30-year loan term. The RBA announced a 25 basis point rise on 29 September 2026, taking the cash rate target to 4.60% effective 30 September 2026. Cash-rate targets differ from home loan rates; enter your lender's rates in the calculator for your own estimate.

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About the RBA Rate Cut Calculator

Use this RBA rate cut calculator to estimate how an interest rate reduction or rate drop could change your home loan repayments. The calculator also works for rate rises, so you can compare weekly, monthly and yearly mortgage savings or additional costs from any cash-rate scenario.

Latest update (29 September 2026): The Reserve Bank of Australia (RBA) raised the cash rate target by 25 basis points from 4.35% to 4.60%, effective 30 September 2026. The unanimous decision reflected stronger-than-expected inflation, higher global energy prices and pressure on domestic capacity.

Read the official RBA media release (29 September 2026) · View the cash rate target and effective date

Impact on Your Mortgage

The default previous rate of 4.35% and new rate of 4.60% illustrate the latest RBA increase. These are cash-rate targets; enter your lender's actual home loan rates and remaining loan term to estimate your repayment change. Lenders decide whether and when to pass on the increase. You can also adjust the rates to test a 0.25% RBA rate cut, 0.50% rate cut or another scenario. When banks pass rate changes to customers, this can result in:

Lower monthly repayments after a rate cut
Higher monthly repayments after a rate rise
Changed interest charges over the life of the loan
A clearer household budget for your next payment cycle

RBA's Current Outlook

The Board said inflation was still too high despite signs that the economy was slowing. It will monitor incoming data and risks to the outlook, and may raise the cash rate further if needed to bring inflation sustainably back to target.

Managing Higher Rates

To manage the impact of rate increases, consider:

Reviewing your household budget to accommodate higher repayments
Building a buffer in your offset account to reduce interest
Comparing rates from other lenders - refinancing could help
Speaking to your bank about hardship options if needed