Comparison Rate
nouncom·par·i·son ratepronounced kəm-PAR-ə-sən RAYT
Last reviewed 16 April 2026
What does the noun Comparison Rate mean?
A single percentage figure that combines a loan's interest rate with most of its standard fees and charges, calculated on a $150,000 loan over 25 years. Required by law to be displayed alongside any advertised home loan interest rate in Australia. It includes application fees, ongoing fees, and settlement costs, but excludes government charges, lenders mortgage insurance, and conditional fees like early repayment penalties.
How the noun Comparison Rate is used
The headline rate was 5.99% but the comparison rate was 6.45%, which told us the loan had fairly high ongoing fees.
Related words
Cite this entry
MLA citation: "Comparison Rate." How to Property, 16 Apr. 2026, https://howtoproperty.com.au/definitions/comparison-rate. Accessed 29 May 2026.
Chicago citation: How to Property. "Comparison Rate." Last modified April 16, 2026. https://howtoproperty.com.au/definitions/comparison-rate.
APA citation: How to Property. (2026, April 16). Comparison Rate. https://howtoproperty.com.au/definitions/comparison-rate