What is the RBA interest rate decision?

20 May 2025  

On 20 May 2025, the Reserve Bank of Australia (RBA) announced its decision to decrease the official cash rate target by 0.25%.  

If you’re a home loan or everyday banking customer, please see below for more information to understand what this change means for you. 

Home Loans

What does the RBA’s latest rate cut mean if I’m a home loan customer?  

We’ve decided to lower our variable home loan reference rates by 0.25% per annum, effective 23 May 2025.    
 

When will I know what my new rate and repayment amount will be?  

If you have a variable home loan, you’ll be notified about your new rate on or after the effective date. For more information about changes to your interest rate and repayments, read our article here.   
 

What are some of the benefits of my home loan?  

As a valued home loan customer, you can continue to enjoy the below benefits.  

  • The flexibility to fix a portion of your loan. You can split your home loan into fixed and variable portions to have the certainty of a fixed rate with the flexibility of a variable rate.   We currently have some very competitive fixed rates – see our website here.  
  • Great rates and no hidden fees or charges. Save on your home loan with access to great rates and no hidden fees or charges. 
  • Up to 10 offset accounts. Every dollar in an offset account can help reduce the interest you pay each month on your linked account. With an offset account, you can enjoy all the benefits of our award-winning banking offering. You can also transfer money from your offset account, make payments and access a debit card for purchases, payments and fee free cash withdrawals from more than 23,000 ATMs across Australia.†

How can I get support for my home loan?  

We are focused on supporting Australian households feeling the impact of cost-of living pressures. If your personal or financial circumstances have changed and you are concerned about making your loan repayments, we may be able to offer financial assistance. More information, including how to contact our specialist team, is available here.    

Everyday Banking

What does the RBA’s latest rate cut mean if I’m an everyday banking customer?  

We’re currently reviewing the impact of the RBA’s decision on the interest you can earn across our everyday banking products. If you’re an existing customer, you will be notified if any changes are made to your rate.   

What are some of the benefits available when using my transaction or savings account?  

There are a range of benefits to help you save money and maximise your security:   

  • No hoops or catches. Our accounts have no minimum balance, no deposit requirements and no transaction conditions. There’s also no need to lock away your savings for a set period to receive the interest rate, providing customers confidence that they are earning higher interest regardless of their level of savings or account activity.  
  • Fee free ATM withdrawals. You can withdraw cash from more than 23,000 ATMs across Australia. We will pay for any fees you may be charged when withdrawing cash from ATMs in Australia with your Macquarie debit card^.  
  • Save up to 12.5% on eGift cards at over 65 Australian retailers. Purchase discount cards from Macquarie Marketplace on your mobile or online and access them immediately. You can calculate potential savings with our Marketplace calculator.   
  • Take control of budgeting and saving. All your purchases are automatically categorised into groups such as groceries, travel, leisure or technology, helping you create smart budgets to track and manage your spending. You can also save and categorise your receipts and warranties to make tax time easier.   
  • Easily keep track of your spending. Get the added convenience of real time notifications, or set up customised notifications to receive alerts about your account activity, so you can easily track how much you spend.  
  • Travel with peace of mind. Enjoy no Macquarie foreign exchange fees when using a Macquarie debit card while travelling overseas or making purchases from international retailers online.* You can keep track of how much you’re spending while making card purchases or transactions, with real time alerts showing the amount in local currency and Australian dollars.
  • Supercharge your security. Macquarie Authenticator is your ultimate security companion. Connecting seamlessly with your Macquarie mobile banking app, it offers multi-factor authentication so you can review and authorise transactions and account changes before they happen and know exactly what you’re approving.  

More information about our savings and transactions accounts is available here.    

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    Additional information

    †

    Open and link up to 10 offset accounts per variable rate loan account for single or joint borrowers (up to 4 offset accounts per variable rate loan account can be requested at application stage). Company and trust borrowers can open up to 4 offset accounts which must be opened at application. Offset Home Loan Facility cannot be fully fixed and offset accounts cannot be linked to fixed rate loan accounts. For an Offset Home Loan Facility, the variable rate loan account must have a minimum limit of $20,000.

    ^

    We don’t charge fees for overseas ATM withdrawals or card purchases or transactions made or processed outside Australia but others, such as the banks of international merchants and international ATM operators, might.

    *

    We don’t charge fees for card purchases or transactions made or processed outside Australia but others, such as the banks of international merchants, might.

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    Unless stated otherwise, this information is provided by Macquarie Bank Limited AFSL and Australian Credit Licence 237502 (MBL) and does not take into account your objectives, financial situation or needs. You should consider whether it is appropriate for you. Finance is subject to our credit approval criteria. Terms and conditions apply and may change without notice.

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