Westpac raised A$2.75 billion through an issue of residential mortgage-backed securities, WST 2024-1, upsizing the transaction from $750 million at launch and paying 105 basis points over the one-month bank bill swap rate on the senior notes. The A notes are worth $2.53 billion and have a weighted average life of 2.9 years. The B notes, worth $220 million, were unrated and the pricing was not disclosed. In October, Commonwealth Bank completed an RMBS issue with very similar characteristics. Medallion 2023-2 RMBS raised $2 billion, with CBA paying a margin of 105 bps on the senior notes (which have a WAL of 3.4 years). CBA retained the B notes and did not disclose the pricing. Non-bank lenders are paying around 25 basis points more than the big banks on the senior notes of their RMBS issues. In November, Pepper priced an issue of prime RMBS, raising A$750 million and paying 130 bps on the A1 notes. In October, AFG raised $750 million with a prime issue, paying 130 bps over BBSW on the A1 notes, worth $675 million and with a weighted average life of 2.1 years.