Mortgage stress is hard, so here are three good reasons to call your lender now

By Evlin DuBose · · 2 min read
Fact Checked
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Woman calling her lender on the phone in her kitchen

Affording your home is important: mortgage stress can drain your finances and mental health, and evidence suggests it’s mounting in Australia.

Indeed, a survey conducted by Mozo at the beginning of the year showed 73% of borrowers would be maxed out financially after four 0.25% rate rises. That means only 27% of borrowers surveyed can absorb another RBA hike this year – and the rate cycle is far from over. 

So if mortgage stress has hit home for you, here are three good reasons to call your home loan lender right now.

1. You could negotiate a lower interest rate

Woman cross legged on the phone in her living room

According to Mozo’s survey, 50% of surveyed borrowers hadn’t thought to call their lenders and negotiate their mortgage interest rate – and 17% didn’t know they could. 

While we’re used to variable interest rates changing, it’s vital to remember that you can have a hand in their change, too. A lender would rather lose some money by giving you a lower interest rate than lose your business altogether when you refinance. 

Call your lender today to see if you can score a more competitive interest rate. If they’re unwilling to play ball, compare home loan offers on the market to see if you can switch and save.

Loan details

Rate change

Repayment change if rates change

2. Asking for help won’t affect your credit score

Woman working at her desk in her bedroom

There truly is no shame in asking for help financially, and new regulations mean customers who speak up get rewarded. If you call your lender and need to push the “help” button, i.e. declare financial hardship, it doesn’t count as a red mark on your credit report or bring down your credit score. 

This rule change means you now have nothing to lose by asking your lender for help: in fact, it rewards you for taking ownership of your financial situation and looking for solutions. Mortgages are a significant expense – it’s best to stay on top of your repayments before they get out of hand. Your proactivity is a strength, not a failure.

3. You can tackle other forms of debt

Person on their laptop on their living room floor

A home loan is a significant debt, but you likely have other debts competing for your hard-earned money, too, such as credit card payments or energy bills. Your bank can help you tackle these first so you leave your mortgage repayments alone.

Credit card lenders may temporarily arrange interest-free repayments for you, and energy providers may help you develop a long-term arrangement to help you get back on track. Some mobile and broadband providers may even offer you a temporary discount to keep you on their plans. Not every service will work with you, but you’ll be surprised how many will. 

Remember: your business is valuable. If a company doesn’t try to keep you, they’re not worth keeping in your budget! 

Compare refinance home loans below.

Last updated 21 March 2025 Important disclosures and comparison rate warning*
What are your home loan needs?
Loan purpose
Buying or Refinancing
  • Promoted

    Unloan Variable Home Loan

    • Owner occupier
    • Principal & Interest
    • 20% min deposit
    • Redraw available
    Interest rate
    5.74 % p.a.
    Variable
    Comparison rate
    5.65 % p.a.
    Initial monthly repayment
    $2,915
    Go to site
    • The first home loan with an increasing discount (conditions apply)
    • No application or banking fees
  • Promoted

    Basic Home Loan

    • Fixed rate
    • Owner occupier
    • Principal & Interest
    • 30% min deposit
    • Redraw available
    Interest rate
    5.39 % p.a.
    Fixed 2 years
    Comparison rate
    5.82 % p.a.
    Initial monthly repayment
    $2,805
    Go to site
    • No ongoing fees
    • Free redraw from your loan using Macquarie Online.
    • No application or account management fees
  • Promoted

    Variable Home Loan 90

    • Owner occupier
    • Principal & Interest
    • 10% min deposit
    • Offset available
    • Redraw available
    Interest rate
    5.79 % p.a.
    Variable
    Comparison rate
    5.83 % p.a.
    Initial monthly repayment
    $2,931
    Go to site
    • No monthly or ongoing fees
    • Option to add an offset for 0.10% p.a.

  • Basic Home Loan

    • Fixed rate
    • Owner occupier
    • Principal & Interest
    • 30% min deposit
    • Redraw available
    Interest rate
    5.39 % p.a.
    Fixed 2 years
    Comparison rate
    5.82 % p.a.
    Initial monthly repayment
    $2,805
    Go to site
    • No ongoing fees
    • Free redraw from your loan using Macquarie Online.
    • No application or account management fees

  • Switch & Save One Year Fixed Home Loan

    • Fixed rate
    • Owner occupier
    • Principal & Interest
    • Offset available
    • Redraw available
    Interest rate
    5.54 % p.a.
    Fixed 1 year
    Comparison rate
    5.74 % p.a.
    Initial monthly repayment
    $2,852
    Go to site
    • No penalty for early payout
    • No penalty for making additional payments
    • 100% Savings Offset facility

  • Switch and Save Home Loan

    • Owner occupier
    • Principal & Interest
    • Offset available
    • Redraw available
    Interest rate
    5.64 % p.a.
    Variable
    Comparison rate
    5.75 % p.a.
    Initial monthly repayment
    $2,883
    Go to site
    • No penalty for early payout
    • No penalty for making additional payments
    • 100% Savings Offset facility

  • Fixed Home Loan

    • Fixed rate
    • Owner occupier
    • Principal & Interest
    • 5% min deposit
    • Redraw available
    • Cashback
    Interest rate
    5.69 % p.a.
    Fixed 2 years
    Comparison rate
    6.00 % p.a.
    Initial monthly repayment
    $2,899
    Go to site
    • Get up to $4,000 cashback (T&Cs apply)
    • Up to 12 months repayments in advance without penalties
    • Split loan available

  • Unloan Variable Home Loan

    • Owner occupier
    • Principal & Interest
    • 20% min deposit
    • Redraw available
    Interest rate
    5.74 % p.a.
    Variable
    Comparison rate
    5.65 % p.a.
    Initial monthly repayment
    $2,915
    Go to site
    • The first home loan with an increasing discount (conditions apply)
    • No application or banking fees

  • Simple Home Loan Variable

    • Owner occupier
    • Principal & Interest
    • 40% min deposit
    • Redraw available
    Interest rate
    5.74 % p.a.
    Variable
    Comparison rate
    5.74 % p.a.
    Initial monthly repayment
    $2,915
    Go to site
    • No application, ongoing or monthly fees
    • Make additional repayments at any time
    • Access your money via internet banking at any time

  • OMG Home Loan

    • Owner occupier
    • Principal & Interest
    • 40% min deposit
    • Redraw available
    Interest rate
    5.74 % p.a.
    Variable
    Comparison rate
    5.77 % p.a.
    Initial monthly repayment
    $2,915
    Go to site
    • No ongoing annual fees
    • Pre-approval valid for 3 months
Showing 8 results from 417 home loans. Use the filters to see more

* WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for $150,000 over 25 years.

** Initial monthly repayment figures are estimates only, based on the advertised rate. You can change the loan amount and term in the input boxes at the top of this table. Rates, fees and charges and therefore the total cost of the loan may vary depending on your loan amount, loan term, and credit history. Actual repayments will depend on your individual circumstances and interest rate changes.

^See information about the Mozo Experts Choice Home Loan Awards

Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.

While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.

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