RBA hikes cash rate
The Reserve Bank of Australia (RBA) Monetary Policy Board delivered its second rate hike of 2026 in its March announcement, a move widely anticipated amid stubborn inflation and mounting price pressures linked to the Middle East-driven oil shock.
In lifting the official cash rate by 25 basis points, the RBA increased the target from 3.85 per cent to 4.10 per cent, extending the cycle that resumed when the board raised rates in February.
The decision was split, with five members of the Monetary Policy Board voting in favour of the increase, while four members voted to leave the cash rate unchanged.
In its post-meeting statement, the board said the decision to lift the cash rate was driven by a pick-up in inflation and a view price pressures were more entrenched than previously thought.
“Information since the February meeting suggests that some of the increase in inflation reflects greater capacity pressures. In addition, the conflict in the Middle East has resulted in sharply higher fuel prices, which, if sustained, will add to inflation,” the statement read.
“As a result, the Board judged that there is a material risk that inflation will remain above target for longer than previously anticipated.”
The RBA also stated that inflationary pressures had strengthened enough that another rise in the cash rate was necessary.
“The Board judged that inflation is likely to remain above target for some time and that the risks have tilted further to the upside, including to inflation expectations,” the statement read.
ASIC confirms it is investigating CBA loan fraud
The Australian Securities & Investments Commission (ASIC) has told a parliamentary committee it is undertaking “compliance inquiries” after Australia’s largest lender self-reported concerns it may have been the victim of mortgage fraud.
Appearing before the parliamentary joint committee on corporations and financial services, ASIC commissioners – including outgoing chair Joe Longo – were questioned about the regulator’s work on investigating loan fraud and financial crime risks within the mortgage market.
The committee referenced recent reporting by The Australian Financial Review that the Commonwealth Bank of Australia (CBA) believed up to $1 billion worth of home loans on its books may have been obtained fraudulently, although the bank has not publicly confirmed the details.
The concerns are understood to centre on potential money-laundering activity, where criminals allegedly used falsified documents – including fake income statements – to secure loans, in some cases using material generated by artificial intelligence.
Reports suggested the applications may have involved multiple parties, including accountants, brokers, and loans written through both the broker channel and the bank’s introducer program.
ASIC commissioner Kate O’Rourke told the committee the regulator had received information on the matter and was now making compliance inquiries, adding that the issues raised potential conduct breaches that would be a focus for ASIC.
She also said the regulator was working with other agencies, including the Australian Transaction Reports and Analysis Centre (AUSTRAC), as well as law enforcement, as part of its inquiries.
ANZ becomes final major bank to join 5% Deposit Scheme
Australia and New Zealand Banking Group (ANZ) has become the final major bank to join the Australian government’s 5 per cent Deposit Scheme (formerly the Home Guarantee Scheme).
The scheme allows eligible first home buyers to purchase a property with a deposit as low as 5 per cent, and single parents or legal guardians with a deposit as low as 2 per cent, without the need to pay lenders mortgage insurance (LMI).
Launched in 2022, the scheme previously included Commonwealth Bank of Australia, National Australia Bank, Westpac, and 37 non- major lenders. ANZ had not initially participated, but applied to join following the scheme’s expansion in October 2025, which removed application caps and increased property price limits amid rising house prices.
Housing Australia, which administers the scheme, said the move would improve access and reduce delays, noting that some lenders, including Beyond Bank, had temporarily paused pre-approvals due to surging demand.
A Housing Australia spokesperson told The Adviser: “We welcome ANZ to the panel, alongside smaller, customer-owned, and regional banks, providing Australians with more access points and a wider range of lender options. Additional lenders will join throughout 2026 and be added to the First Home Buyer website as they begin accepting applications.”
ANZ said it was “pleased to have been appointed as a participating lender in the Australian Government 5 per cent Deposit Scheme” and is currently updating systems, policies, and processes to offer loans under the program.
MFAA launches new push to channel borrowers to brokers
The Mortgage & Finance Association of Australia (MFAA) has launched its 2026 national consumer campaign, running from 17 March to 30 April, aimed at driving more Australians to MFAA-accredited brokers through its upgraded Find a Broker platform.
The initiative is framed as the next phase of a program the association said delivered strong engagement in 2025.
That effort generated more than 324,000 visits to the Find a Broker website, reached an estimated 3.9 million Australians, and produced over 21.4 million impressions across digital and social media channels.
The 2026 campaign will run across a broad digital mix, including Facebook, Instagram, Google Display Network, YouTube, and audio platform LiSTNR.
Its aim is to promote MFAA-accredited brokers as trusted, highly trained professionals and to highlight the value they provide at each stage of the property finance journey.
The association expects the campaign to reinforce the role of accredited brokers as essential partners for consumers seeking reliable guidance in property finance.
Anja Pannek, MFAA CEO, said the campaign is designed to build on last year’s reach as borrowers navigate an increasingly unpredictable environment.
“We saw how widely embraced last year’s campaign was by borrowers looking for support and guidance. Thousands of consumers visited the MFAA’s Find a Broker website, and we hope to build on that momentum to reach even more Australians in 2026,” Pannek said.
