The Commonwealth Bank has followed Westpac’s lead and increased its interest rate.

Their 0.15% rise follows Westpac’s 0.2% hike last week.

In his weekly segment, finance guru Scott Haywood said the increase won’t be effective until November 20.

But Tom Elliott says that’s cold comfort for people with 20-25 year mortgages.

He says it’s only a matter of time before other banks follow suit.

Click play to hear Scott Haywood debate interest rates with Tom Elliott