Commonwealth Bank (CBA) is Australia’s largest bank by basically any measurement, while Westpac (WBC) is Australia’s second-largest by many measurements. Both have more than $1 trillion in residents' assets on its books; they’re the only two banks in Australia to claim this feat, out of a cast of more than 100.
Westpac is Australia’s oldest bank, established as the Bank of New South Wales in 1817. CBA usurped Westpac’s reign as Australia’s largest bank when it became privatised in the 1990s. Now the two offer a wide array of home loan products, so which one should you go with?
Compare Westpac and Commonwealth Bank Home Loans
See how Westpac and CommBank compare with each other, and their major bank compatriots ANZ and NAB, in the table below.
| Lender | Home Loan | Interest Rate | Comparison Rate* | Monthly Repayment | Repayment type | Rate Type | Offset | Redraw | Ongoing Fees | Upfront Fees | Max LVR | Lump Sum Repayment | Additional Repayments | Split Loan Option | Tags | Features | Link | Compare | Promoted Product | Disclosure |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
6.44% p.a. | 6.66% p.a. | $3,141 | Principal & Interest | Variable | $0 | $0 | 97% | |||||||||||||
6.44% p.a. | 6.44% p.a. | $3,141 | Principal & Interest | Variable | $0 | $160 | 70% | |||||||||||||
6.79% p.a. | 6.87% p.a. | $3,256 | Principal & Interest | Variable | $8 | $350 | 70% | |||||||||||||
6.79% p.a. | 7.16% p.a. | $3,256 | Principal & Interest | Variable | $0 | $0 | 90% |
CBA and WBC Home Loans on Offer
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X |
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X |
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X |
It’s tough to say in a black-and-white fashion which bank is better for a home loan because each borrower’s needs are different. Both tend to offer interest rates similar to one another that aren’t among the most competitive in-market.
In certain circumstances one may be better than the other, for example if you need a low-doc home loan Westpac doesn’t offer one, while CBA does in limited circumstances.
In the end it may also come down to home loan approval times; CBA claims as little as 60 minutes to put in an application to 4-7 business days for approval. Westpac did not respond to InfoChoice Group’s queries.
You might also prefer one’s app over the other, which is subjective, or you may already bank with one which could make it easier to get a home loan through them too.
The floor is yours.
Don’t forget the subsidiaries
Westpac and CommBank are such large banks they have either established other brands or acquired banks over the years, which enrich the financial landscape in Australia.
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St. George, Bank of Melbourne, and BankSA: The three amigos of Westpac’s parenthood, these three banks tend to make home loan rate movements in tandem with one another.
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Bankwest: Bankwest was acquired by CBA in the late-2000s, and the Perth-based bank offers a solid variety of home loan products.
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Unloan: Unloan is a recent addition to CBA’s stable, offering a digital home loan experience with lower rates than many institutions. It’s a relatively streamlined affair, offering refinance-only home loans at 80% loan-to-value ratio (LVR).
| Lender | Home Loan | Interest Rate | Comparison Rate* | Monthly Repayment | Repayment type | Rate Type | Offset | Redraw | Ongoing Fees | Upfront Fees | Max LVR | Lump Sum Repayment | Additional Repayments | Split Loan Option | Tags | Features | Link | Compare | Promoted Product | Disclosure |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
6.44% p.a. | 6.66% p.a. | $3,141 | Principal & Interest | Variable | $0 | $0 | 97% | |||||||||||||
6.44% p.a. | 6.44% p.a. | $3,141 | Principal & Interest | Variable | $0 | $160 | 70% | |||||||||||||
6.79% p.a. | 6.87% p.a. | $3,256 | Principal & Interest | Variable | $8 | $350 | 70% | |||||||||||||
6.79% p.a. | 7.16% p.a. | $3,256 | Principal & Interest | Variable | $0 | $0 | 90% |
Images via Westpac and Commonwealth Bank websites, designed on Canva
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