How to Reduce your NAB Home Loan Repayments after the Rate Cut?
Good news for variable rate customers!
National Australia Bank (NAB) has announced that they will follow the RBA cash rate announcement and will reduce their variable interest rates by 0.25% on Friday, 28 February 2025. This is welcome news for many homeowners and borrowers looking to ease the pressure of their loan repayments.
What this means for your minimum repayments:
While the rate decrease is effective from the 28th of February, it's important to understand that your NAB minimum repayment amount won't automatically reduce on that day. NAB is unable to reduce their minimum repayments until a repayment review is requested from the borrowers. This does not mean that you will be repaying more interest than you should on your home loan but you will be repaying more principal (essentially repaying your loan faster) if you do not complete this review.
How to request a repayment review:
If you'd like to explore the possibility of reducing your minimum repayment following the rate decrease, you can request a repayment review. Here's how:
Contact your broker so they can initiate the request, or,
Start an online chat with NAB through the NAB App, or,
Call NAB directly on 13 22 65 and speak to one of their representatives.
Important points to remember:
Repayment reviews can only be requested after the new rates are effective on Friday, 28 February 2025.
Be prepared to discuss your current financial situation during the review process.
What to do in the meantime:
Stay informed: Keep an eye on NAB's official communications for any updates.
Plan your budget: Even before the repayment review, consider how the rate decrease might impact your overall budget.
Prepare your questions: If you plan on calling or chatting with NAB, make a list of any questions you may have regarding your loan and the repayment review process.
This rate decrease is a positive step for home loan borrowers. By understanding the process for requesting a repayment review, you can take full advantage of these changes and manage your loan effectively.
Once completed 🚀
It can take a several business days for your home loan repayments to be updated so don’t wait until the last day of your repayment cycle to complete the request.
This information is valid at the time of this blog post but processes may change at any time so do not hesitate to contact us if you need additional support.
Need more help with your home loan?
Contact the WeNeedFinance team in St Kilda for further assistance.