Packaged Home Loans help Aussies save
The main advantage is convenience. You get to bundle your savings account, term deposits, credit cards, car loan and other financial product under the one umbrella.
Banks often offer lower interest rates and waive a range of on-going fees on packaged home loans that would otherwise apply. In the long run, you get better value for your money.
Packages can mean specific benefits for specific demographics. For instance, if you are a first homebuyer, you will want to be on a packaged home loan that offers a competitive variable rate. This would allow you to cash in on the benefits that come with changes announced by the Reserve Bank of Australia each month. Whereas on a fixed rate, you have certainty without the ability to cash in on the benefits of a low official cash rate.
Australian first homebuyers generally have a car loan and a credit card to repay. Packaged home loans make it convenient to have all financial products in one place. But like everything else, it has its pros and cons. Be careful not to end up subscribing to a loan product you don’t need, like a credit card. Packaged home loans come with their benefits, but never assume they will always work to your advantage.
Always ensure you understand the details of the fees or charges that may apply in each product’s case. This will help you make an informed decision.
Find out more about popular packaged loan products with the Big Four banks below:
The best thing is to compare home loans from different banks side by side. Pick which product you want with which bank, then ask yourself whether or not to opt for a deal with or without a package. Use SwitchMyLoan’s powerful home loan comparison tool below and start comparing now:
Or call us on 1300 307 155 and speak to one of our Customer Service Specialists to get a free quote!
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