Offset accounts are a very popular option with home loan borrowers and for very good reason. Let’s start with how they work………… Offset accounts are set up much the same way a traditional savings account and the account holder can literally transact through it as you would with a traditional savings account. But they have…
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Are all Lenders the same ?? The answer to this question is a resounding NO. Not only within the traditional banking sector, but even between the big four themselves, there are differences of approach. These differences can be subtle but some are not so subtle. One obvious example may be a particular bank’s expertise with…
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Over the last few years we saw lenders add premiums to interest rates for Investment Home Loans and then add even higher premiums for Interest Only Loans (also once the most common repayment setting for Investment Home Loans). Hence it’s understandable that borrowers could come to the conclusion that lenders had “gone off” Investment Loans,…
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The prudential regulator is increasing the minimum interest rate buffer it expects banks to use in serviceability of home loans. The Australian Prudential Regulation Authority (APRA) has announced changes to mortgage lending rules for banks. As flagged by the Reserve Bank on Tuesday (5 October), it is increasing the minimum interest rate buffer it expects banks to use when assessing…
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