This is for Owner Occupied P&I home loans.
LVR ≤ 70%: 2.17%, 2.17% comparison rate
LVR ≤ 80%: 2.39%, 2.39% comparison rate
I'm with this broker and unfortunately they wouldn't match it for mine as it is a limited offer from their lender for new loans only to "address their lower than normal volume due to COVID19".
Factor in ~$1k fees to set it up but there's no ongoing ones.
@haru, what rate are you currently getting with them?
2.59%
When did you settle? Did they pass any past rate cuts to your loan?
Slight correction, it's actually 2.56%. I settled 2 years ago. They do pass them on but the going rate tends to lag behind their offer for new customers. I had to ask mine to be manually reduced.
i have been with them for about 3-4 months. i was refunded application fee's which was a bonus
currently on 2.44% no fee's with off set account
was lots of forms, more forms and more forms i had to fill out, which i suspect it like most refinance's i guess..
How have you found them so far/online banking? Who is the loan actually with?
online is pretty basic.
the weblink has http://originmms.com.au/ in the name
i have main home loan account that just direct debits from my Commonwealth Account.
and a offset account
Who's the actual lender?
How can the comparison rate be the same if there are ~$1k fees to apply?
perhaps because fee's are rebated into your offset account unless you cancel your application.? thats what happened to me.
the only other fee that i had to pay was the post office Police ID check which was $49 per person
Application fee $0 ($385 refunded)
Valuation fee $0 ($250 refunded)
Settlement fee $0 ($300 refunded)
Yearly fee $0
3rd party solicitor costs at cost
3rd party governments costs at cost
Post office ID isn't a police check. Its a simple ID check under "Know your customer" requirements for AML/CTF
This sounds pretty good considering no ongoing fee with offset account. Discharge fee seems the only fee.
Discharge Administration Fee
$0 when with Freedom Lend over 5 years
OR
$535 when less than 5 years
UPFRONT COSTS ABOVE $350,000
Application Fee $0
Valuation Fee $0
Solicitors Fee $0
UPFRONT COSTS ALL OTHERS
Application Fee $385
Valuation Fee $250 or at cost
Solicitors Fee $300 or at cost
Ongoing Fee $0
3rd party solicitor costs at cost
3rd party government costs
Comparison rate extremely misleading. Read the fine print all.
I agree, can’t have a comparison rate for $150k and it been the same as the advertised rate when they charge fees below $350k loans.
Only concern I have is the offset account funds may not be protected by the gov scheme.
Don’t use the offset account on any of these accounts funds. Just go for the low interest rate
Or just go with another ADI lender where there is a high offset balance. Now is probably riskier than ever to place funds with non ADIs.
This is an interesting point. Let's say I have a 600K loan, and put 200K extra money into the loan account. The 200K is available for redraw. Is this safer than having 200K in offset account?
ME Bank "consumed" a lot of customers redraw recently without any notice of it happening, so I'd be wary.
@mickmac: The bank can't touch the amount in an offset account, but they can touch your redraw though, because the extra funds are in the same account as the loan.
@ozzieozzieozzie: Does it mean I could lose the extra money in the loan account if the bank goes bankrupt?
If you only make minimum repayments, then your redraw will gradually erode over the term of the loan.
@iwatchfatpplsleep: A little light reading on the subject:
https://www.homeloanexperts.com.au/home-loan-types/home-loan…
I've applied, significant interest savings coming from nab.
I am honoured to have helped the great Shop Small master @thydzik.
Rate has now gone up from 2.39 to 2.49% :(
As per the deal expiry date it was for July only.
So who is the actual loan through? FreedomLend seems to be a broker whilst trying not to straight out say that they are a broker.