Looking to buy a house, not sure which online lender I should go with.
Anyone that has a loan with either of the above lenders please give me pros and cons.
Im thinking about going with tictoc purely because they have a lower rate.
Cheers
Home Loan Athena OR tictoc
LCheapAsianGurl on 25/02/2022 - 09:49
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Brokers don't normally deal with low rate lenders like Athene AFAIK.
Serious? Do yo know brokers get kickbacks off your loan for years, it is not just a once off fee? Who do you think is paying that?
the bank
Out of the goodness of their heart.
@toomuchdogfur: The bank just makes more if you go direct. Someone has to pay for the CEO's salary and stadium sponsorships.
Dead serious. I want to get the money first before I worry about rate. Once the loan settles then I can spend my time hunting around for a better rate.
A lot of these online lenders seem to be hit and miss when it comes to getting loans through (based off OzB comments). I know an experienced broker will try all lenders.
No point hunting for a better rate if you can't get the juice…
I am with Athena and the whole process has been amazing. Highly recommend. I actually applied for tictoc before Athena and they lost my application, annoying. Athena pre-approval took a week then settlement also took a week.
Have PMd you more info
Thank you! I dont see anything in my inbox tho
Check now
I believe both of the above are fine as long as you don't intend to have an offset or redraw account. This is because your $$$ are not backed by the government's deposit guarantee.
TicToc's offset account is with Bendigo and Adelaide Bank, which is a proper bank with ADI protection. Haven't checked Tictoc's redraw option since I don't plan on using it.
Thanks for correcting me!
It's more accurate to state that the loans and accounts themselves are with Bendigo and Adelaide Bank - TicToc is effectively like a "reseller" for them. If you go through them, the mortgage papers will actually state Bendigo and Adelaide Bank rather than TicToc.
ah i didnt even think of that. Is it that risky to have an offset account with a non bank?
It is unlikely to be an issue, but you can't rule out the chance of losing your $$$. It depends on your appetite for risk.
Also if it is a PPOR that might be converted to an investment property in the future, removing money from the “offset” account might have tax implications. Worth investigating. This problem won’t be there if the offset is truly a proper bank account.
TicToc has an awesome on boarding process. I got approved in less than 1 day. Combined with the $2022 cash back right now and its a very awesome deal.
Athena is offered through some brokers. They also have their own broker service if you don't qualify for their product.
You need to do the initial assessment with them first to see who is going to lend you what you want, as they have very strict lending criteria as they say because they are new in the market. Call them and do the assessment on the phone instead of applying online, as they do a credit check on your credit report and if they decline you, then that would have a bad impact on your credit report because the next lender when they see Athena Home loans check on your report they will think that you have been delined by them.
A proper credit check costs money. Most online applications, pre approvals, will do a free check which doesn't leave any marks and is available through all the "free credit check" sites. They will then offer you conditional approval, pending the ID and proper credit checks which are done by real people.
One problem with Tictoc is they charge $10 monthly fees whereas Athena has zero fees. $120 a year in fees adds up.
I also don’t know whether existing customers at Tictoc get gradually bumped up. Does anyone know if they do that? UBank and Loans.com do this, where they start you on a cheap rate and then gradually raise you up whilst still marketing the cheaper rate to new customers.
An advantage of Athena is it does not do this
Would you now go with Unloan or uBank based on all of the hikes? If one didn't have a Big amount for an offset 20-30k, then would it be enough to find a loan with just a redrew as long as redraws were fee free?
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