Hypercholesterolemia, characterized by an increase in plasma low‐density lipoprotein (LDL) cholesterol and total cholesterol (TC), is the leading cause of non‐alcoholic fatty liver disease (NAFLD). The present study examined the effect of Heukcha extract (HCE), a naturally post‐fermented green tea extract, on diet‐induced hypercholesterolemia and related NAFLD in hamsters that metabolize lipids in a similar fashion to humans. The 10‐week‐old golden Syrian hamsters were fed a normal diet (ND) or a high cholesterol diet (HCD) containing 0.2% cholesterol and 10% lard, and some were also given HCE (200 or 500 mg/kg/day) orally for 12 weeks. The HCE did not affect the body weight gain, food intake, or the calorie intake. HCD significantly (p < 0.05) increased LDL (0.9 to 2.1 mmol/L), TC (2.7 to 7.8 mmol/L), and triglyceride (TG; 2.3 to 4.0 mmol/L), which was significantly decreased by 27.7%, 17.3%, and 60%, respectively, by HCE. HDL was significantly increased by HCD (0.6 to 1.6 mmol/L), but it was not affected by HCE administration. Furthermore, HCE suppressed HCD‐induced liver oxidative stress, fibrosis, and lipid accumulation almost to control levels. Interestingly, HCE significantly increased the protein level of cholesterol 7 alpha‐hydroxylase (CYP7A1), the rate‐limiting enzyme for bile acid synthesis, by 1.5‐fold in the liver. The present data suggest that HCE could be a functional food ingredient that can suppress the occurrence of diet‐induced hypercholesterolemia and NAFLD, possibly by increasing the expression of CYP7A1.