Better Choice updates interest rates on select products following RBA decision

Better Choice will be updating interest rates on select deposit and cash-secured products in response to the Reserve Bank of Australia’s (RBA) recent cash rate decision.

These changes reflect movements in market interest rates and ensure our products continue to offer competitive value while supporting the sustainable management of our balance sheet.

Below is a summary of the upcoming changes.

Cash Management Accounts

Following the RBA’s March rate change, Better Choice will increase Cash Management Account interest rates by 0.25% p.a., bringing the standard rate to 4.25% p.a.

What’s changing:

• New accounts From 1 April 2026, the standard interest rate for newly opened CMAs will increase by 0.25% p.a. to 4.25% p.a.
• Existing accounts From 14 April 2026, the standard interest rate on existing CMAs will also increase by 0.25% p.a. to 4.25% p.a.

This change means customers will earn more interest on their CMA balances, reflecting the higher interest rate environment.

Cash Secured Bank Guarantees

Better Choice is also updating interest rates on Cash Secured Bank Guarantees, with an increase of 0.25% p.a.

What’s changing:

• New guarantees from 1 April 2026:
  • Bank guarantees under $50,000: 1.25% p.a.
  • Bank guarantees above $50,000: 2.30% p.a.
• Existing guarantees from 14 April 2026:
  • Bank guarantees under $50,000: 1.25% p.a.
  • Bank guarantees above $50,000: 2.30% p.a.

These adjustments align guarantee rates with current funding and market conditions.

Home Loans

Better Choice will also increase variable interest rates on home loans by 0.25% p.a.

This change will apply to new accounts from 20 March 2026, and to existing accounts from 31 March 2026.