Home loan & refinancing
“Why do the banks have so many different products?”
Think Money Finance Solutions can help you find the loan that suits your needs and lifestyle.
Standard Variable Loans
Variable interest rates are subject to fluctuations as determined by the lender. Variable loans can offer flexibility to a borrower, with the ability to utilise offset accounts, make bulk reductions or pay regular additional amounts. Redraw access may also be available, which will enable extra repayments to be accessed if needed.
A standard variable product may be suitable for you – let our experienced lending specialists assess your needs.
Fixed Rate Loans
Fixed rate loans have a specific set interest rate locked in for the term that you select, which can vary in years. A fixed loan gives the benefit of knowing exactly what your repayments are, as the rate and monthly repayment amount don’t change during the fixed term period. Fixed rate loans can be more restrictive, with possible penalties for paying the loan out or making additional repayments.
If you would like more information on fixed rate products, please give our experienced lending specialists a call.
Basic Variable Loans
These products are more commonly expressed as the ‘no frills’ loans and have a reduced interest rate. A basic home loan is perfect for the borrowers new to lending or those that do not wish to have a loan with all of the bells and whistles of a standard rate loan.
Basic variable loans have limited features, however as a general rule still provide the flexibility to make additional repayments and utilise a redraw facility.
An offset account is a transaction account that is linked to your home or investment loan. The credit balance of this transaction account is offset daily against your loan balance, reducing the interest payable on that loan.
Offset accounts enable you to make the most of your income and other funds to reduce the interest payable on your loan.
Split loans – utilising variable and fixed loans together
Sometimes it can be beneficial to take advantage of the benefits of both fixed and variable rates and look at a combination or split loan. This means splitting your loan in to one part variable and the other part fixed, which guarantees a portion of your loan repayment commitments to be a set amount for the term of the fixed rate period. The variable portion is usually a smaller amount and allows additional repayments and redraw access as needed.
Our experienced lending specialists would be happy to discuss this in detail with you.