The Reserve Bank of Australia has raised the interest rate overnight by 0.85 percent which is the highest interest rate rise since February 2000. 

Effie Zahos from channel 9 finance joins us to explain what this means for the average person. If you have a $500,000 loan you are looking at an extra $200 a month, if you have a $1,000,000 loan you are looking at around $415. However, if you have an offset account with more than $40,000 in it then it will offset the two rate hikes.

Effie has many tips for fixed rate and variable rate mortgage owners, listen for more. 

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