National Australia Bank (NAB) says it has no current plans to raise its standard variable home loan rate, after rival Commonwealth Bank of Australia (CBA) said it will lift its rate by 10 basis points.
"Common practice for NAB is to review its interest rates daily, however we have no current plans to increase our standard variable home loan rate,'' it said in a statement on Friday.
"We will continue to monitor our interest rates taking the competitive market, the official cash rate and the cost of wholesale funds into consideration, ensuring we provide fair value to consumers.''
CBA said on Friday it will raise rates on its standard home loans and a range of fixed mortgage products from Monday June 15.
NAB said "all Australian banks'' had been incurring significantly higher funding costs for some time.
"Today's announcement by the Commonwealth Bank to lift its standard variable home loan rate is a reflection of that,'' it added.
NAB's standard variable rate is 5.74 per cent. CBA's will rise to 5.74 per cent, from 5.64 per cent.
AAP