The Big Four Banks – how do they size up?
Home loan packages are becoming increasingly attractive to customers because they let you bundle multiple products together with the same lender. Imagine bringing your credit card, savings account, term deposit, car loan and home mortgage all under the one roof.
The truth is, packages are convenient and make it easier to do your banking, however you have to take into account the additional costs of these packages, and to see if they provide any benefits to you that are relevant to your needs. Sometimes the actual savings you achieve may not be indicative of your overall savings, take the Commonwealth Bank in the picture below, it had the second highest savings for the packaged product, yet the highest repayment given the current rate you can achieve on their packaged product.
We have put together the a table below to help you see some of the features that come with the loan products listed below.
For your use, we have prepared a key at the bottom of the table.
Standard Variable Rate is a type of interest rate that varies according to market fluctuations. It is the opposite of a Fixed term interest rate that stays constant for the agreed upon term.
Comparison Rate is your interest rate plus other fees you pay on your account such as annual fee, monthly fee, or fees for redraw, etc.
Variable Rate Lending Tiers are the different brackets for loan amounts. Using these brackets you can see which tier your loan falls within and determine the rate that will apply in your case.
Offset Account is a savings account you can have alongside your mortgage account to, as the name suggests, ‘offset’ interest off your home loan.
Redraw Facility gives you the freedom to withdraw funds form your mortgage account in times of necessity.
If any of the above big four banks packages appeal to you, feel free to give us a call on 1300 307 155 or submit an enquiry through SwitchMyLoan (here) or the button below and we will be sure to get back to you within 1 business hour.
Call 1300 307 155 and start saving today!
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