Adds more details on the results from paragraph 3

Nov 6 (Reuters) - National Australia Bank NAB.AX reported a broadly stable annual cash profit on Thursday, with growth in lending volumes partially offset by increased expenses and a higher credit impairment charge.

The country's No.1 business lender reported cash profit of A$7.09 billion ($4.61 billion) for the year ended September 30, compared with A$7.10 billion last year and a Visible Alpha consensus estimate of A$7.17 billion.

The bank's credit impairment charge climbed 14.4%, primarily due to higher individually assessed charges within its business lending portfolio.

Operating expenses for the year rose 4.6% to A$9.85 billion, mainly due to higher personnel and technology-related costs. The rise includes A$130 million related to payroll review and remediation charges after the lender discovered it had underpaid some of its staff.

Offsetting the impact of higher expenses and charges, NAB's Australian business lending balances rose 9% and deposit balances for the year grew 7%.

Its business and private banking division, which makes up just about half of its profit, reported a 1.6% rise in cash earnings to A$3.33 billion for the year.

Net interest margin, the spread between interest earned from loans and paid to depositors, rose 3 basis points to 1.74%.

However, excluding the benefits from markets and treasury division and lower liquid assets, the margin declined by 1 basis point, reflecting higher deposit cost and mix and higher wholesale funding costs.

NAB, Australia's second-biggest lender by market value, declared a final dividend of 85 Australian cents per share, same as that paid last year.

($1 = 1.5389 Australian dollars)

(Reporting by Himanshi Akhand and Roushni Nair in Bengaluru; Editing by Shilpi Majumdar)

((Himanshi.Akhand@thomsonreuters.comRoushni.Nair@thomsonreuters.com))