NAB cuts home loan interest rates

12 August 2025 
Interest Rates

NAB today announced it will reduce its standard variable home loan interest rate by 0.25% p.a., effective from Monday 25 August 2025.

NAB’s Group Executive for Personal Banking, Ana Marinkovic said:

“Today’s RBA cash rate cut is a welcome change that should boost Australian optimism.

“We expect consumer confidence to pick up as households benefit from lower interest rates, and businesses ramp up hiring and expansion, giving workers a stronger sense of job security.

“This comes at a crucial time to reinvigorate economic activity across Australia,” Ms Marinkovic said.

“For customers who choose to keep their repayments the same, this presents an opportunity to pay down their home loan faster.”

“And for those looking to reassess their repayments, we’ve made it simple to take advantage of the changes.”

To help, NAB has launched a new self-serve repayment feature in the NAB App. It allows eligible home loan customers to request a repayment review in just three taps – no need to call or visit a branch.

“If you want to lower your repayments, you can do it in under a minute, right from the NAB app,” Ms Marinkovic said.

To use the new feature, customers just:

1. Open the NAB App and tap on their home loan
2. Tap Manage
3. Select Update your minimum repayment

Then follow the prompts, tap Agree, and NAB takes care of the rest.

“NAB doesn’t automatically reduce repayments when rates fall and that’s by design,” Ms Marinkovic added.

“Some people want to ease the pressure and reduce their repayments. Others want to keep them the same and get ahead on their loan.

“It’s your loan, your money and now, your choice.”

NAB data shows that more than 90% of customers chose to keep their repayments unchanged after the last rate cut – a decision that can save thousands in interest and shave years off a home loan.

For example, a customer with a 30-year mortgage of $550,000 could save almost $80,000 in interest and pay off their loan two years earlier by keeping repayments the same after a 0.25% rate cut.

“Whatever you decide, the important thing is that it’s your decision and now, it’s just a few taps away,” Ms Marinkovic said.

Notes to editors:

• Customers can visit nab.com.au to calculate potential savings or learn how to adjust repayments using the NAB App’s new repayment feature.