BankSA hikes home loan interest rates after Westpac and Commonwealth Bank increases

South Australia’s BankSA has announced a 0.15 percentage point increase to its home loan rates, a day after the Commonwealth Bank announced the same increase.

The bank’s standard variable home loan rate will increase to 5.67 percent for owner-occupiers, and the investment home loan rate will increase to 5.92 percent.

“The increase will partially offset the cost of fulfilling changed regulatory requirements that will increase the amount of capital that needs to be held against mortgages,” the bank advised in a statement.

BankSA is a division of Westpac, which announced an increase to its standard variable home loan interest rate by .20 percentage points to 5.68 percent on Wednesday.

Yesterday, the Commonwealth Bank announced that its owner-occupier variable rate would increase to 5.60 percent and its investment rate to 5.87 percent from November 20.

The Commonwealth Bank, which is Australia’s largest mortgage lender, similarly blamed “costs associated with recent changes to capital requirements” for the rise.