Comparison Rate Calculator
Estimate a home loan's comparison rate by spreading upfront and ongoing fees across the loan term alongside the advertised interest rate.
Your results
Calculation breakdown
- Annualised fee load
- (upfront fee ÷ years + annual fee) ÷ loan amount × 100
- Comparison rate
- advertised rate + annualised fee load
Worked example
A $500,000 loan at 6% with $600 upfront and $120 a year in fees over 30 years gives an approximate comparison rate of about 6.06%.
Assumptions
- This is a simplified approximation, not the prescribed National Credit Code comparison rate formula.
- Excludes government charges such as stamp duty, which are never part of a comparison rate.
Sources
How this calculator works
This calculator approximates a comparison rate by converting upfront and ongoing fees into an equivalent annual percentage and adding it to the advertised interest rate, similar to how lenders disclose comparison rates under the National Consumer Credit Protection regulations.
Frequently asked questions
Is this the exact comparison rate a lender publishes?
No, lenders use a prescribed formula under the National Credit Code; this is a simplified approximation to help you compare offers, not the legally mandated figure.
What fees should I include?
Include upfront establishment fees and any ongoing annual or monthly account-keeping fees; exclude government charges like stamp duty which are not part of a comparison rate.
Why do two loans with the same interest rate have different comparison rates?
Differences come from upfront and ongoing fees; a loan with lower fees will have a comparison rate closer to its advertised rate.
Editorial review and responsibility
Reviewed by the CalcAussie editorial team on 21 September 2026. Review scope: Method, Australian terminology, material assumptions, source links and user-facing limitations.
Calculator results remain estimates based on the figures entered. Check material decisions against current official information and report a suspected error so it can be reproduced and corrected.
Results are estimates only and are not financial, tax, legal or credit advice.