Commonwealth Bank chief executive Matt Comyn said on Wednesday that 87 per cent of its home loan customers were now in advance of their scheduled repayments, by an average of 35 payments.
"When adjusted for redraw and offset savings, household debt has now returned to levels not seen since 2015," Mr Comyn said, after releasing the bank's results for the first half of 2025/26.
CBA customers had a total of $164 billion in offset and redraw accounts as of December 31, up 5.6 per cent from six months ago and up from $95 billion at the end of 2019.
CBA is Australia's biggest home loan lender with a 25 per cent share, a level that's been consistent for years.
The percentage of its home loan borrowers more than 30 days behind on their payments dropped to just 1.1 per cent during the half, its lowest level in two years.
Arrears levels were moderating as cost-of-living pressures continued to ease, CBA said.
The bank said Australia's economy was recovering faster and stronger than expected, with limited impact from trade and tariff disruptions.
Households were spending more, including on discretionary items, and the economy was struggling to meet aggregate demand.
Persistent inflation is putting upward pressure on interest rates and the Reserve Bank of Australia on February 4 lifted its cash rate for the first time since 2023, to 3.85 per cent.
CBA senior economist Belinda Allen expects the central bank to hike rates again in May, a view widely shared by others in the Australian market.
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