As rates rise we give you 5 simple steps to take action.

As expected, we started 2026, with the news the 3.3m households with a mortgage didn’t want to hear. The RBA has raised rates by 0.25%.

But beyond the headline, what should every mortgage holder do next? Many borrowers are still paying the ‘loyalty tax’ of high interest rates.

While we sometimes look for clever techniques, the five recommendations below are tried-and-tested, simple, actionable steps that can make a big difference in your monthly budget.

THE LADDER LOWDOWN:

• Interest rate rises: +0.25%, costing $1,900 a year on a $1m mortgage

• Inaction is the biggest enemy: We all have busy lives, but there’s simple steps to make a difference

• 15 minutes to save thousands: Call us to review your situation, and we’ll give you clear steps to improve your loan

• Small steps now can make a big difference later.
  

1.Check your rate & repayments

Do you know exactly what your mortgage is costing you after this latest rise? A 0.25% increase might sound small, but on a $1m mortgage, it could cost an extra $1,900 a year.

• Action Item: Check your current interest rate against the market.

2. Avoid inertia, and do something

We all have such busy lives, but the most expensive thing you can do right now is nothing. Inaction is the biggest hurdle to saving money. While the market fluctuates, the "loyalty tax"—the extra interest you pay by staying on an uncompetitive rate is a cost you can control. The hardest part is starting; once you take that first step, the path to savings becomes clear.

• Action Item: Take at least once action here. The simplest is to call me on 0414 877 724 for a chat.

3. Examine your expenses

According to NAB only 39% of Aussies actively set a budget. There are many budgeting tools out there, each with their pros and cons, and costs. But a great starting point is Frollo. Its free, and Australian.

I recently downloaded Frollo, linked several accounts and was surprised the insights I gained in where I was spending, and wasn’t. I’ve now made certain changes to my lifestyle, cancelled some unused subscriptions without much disruption to lifestyle.

• Action Item: Download an app like Frollo, Pocketsmith or even an excel spreadsheet, and locate your hidden expenses.

4. Build your buffer

This is good practice no matter what. However, in an environment where interest rates may get higher, building a safety net is essential, and helps you absorb future rate rises without lifestyle stress.

• Action items: Reduce your expenses identified, take step 5 below and speak to an expert to reduce your mortgage repayments

5. Ask an expert - the 15 minute chat to save you thousands

A 15 minute call could be the biggest single action you could take. We’ll review your situation, compare your rate to 30+ lenders, and provide you with a clear path forward.

• Action item: Pick up the phone and call.

Next steps

Don’t let inertia hold you back. Small steps today provide big benefits over tieme.

Reach out today to see how we can restructure your finance for a stronger 2026.

• Call: 0414 877 724

• Visit: www.ladderfs.com.au