Banks that allow offset accounts for fixed-rate loans

Discussion in 'Property Finance' started by C-mac, 31st Oct, 2018.

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  1. C-mac

    C-mac Well-Known Member

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    Hi folks,

    Anyone know of any lenders who allow this? There's a story I found in the following link that mentions "flexible" fixed-rate loans that DO allow for full offset facility:

    Fixed Rate Mortgage With 100% Offset & Extra Payments

    But it doesn't mention any specific banks or lenders.

    Anyone know of any lenders offering this?
     
  2. Jess Peletier

    Jess Peletier Mortgage Broker - Australia Wide Business Member

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    Adelaide Bank.
     
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  3. Terry_w

    Terry_w Mortgage broker licenced 4 tax/legal advice Business Member

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    ANZ used to allow for 1 year fixed
     
  4. euro73

    euro73 Well-Known Member Business Member

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  5. C-mac

    C-mac Well-Known Member

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    Awesome, thanks folks, much appreciated :)
     
  6. C-mac

    C-mac Well-Known Member

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    Sorry... if I might follow up the legends on Property Chat with one more question on this:

    Adelaide bank - I took a look at their rates and max LVR's, and they look quite reasonable. But do any of the brokers have an insight into how tough they are in this 'new' lending environment? I.e. questions such as:

    - Has Adelaide bank gotten stricter on HEM (Household Expenditure Measure) criteria? And are brokers seeing Adelaide bank rejecting would-be borrowers a lot more often in recent months?
    - Anyone know their assessment-rates? Are they are severe as say ING (e.g. adding 3%+ to all quoted interest-rate products, when assessing applicants' ability to pay?). Or are they still only adding say 2% to quoted interest-rate products when running assessments on applicants' ability to repay loans?

    Outside of HEM and repayment-assessment-rates, any other blockers or tougher-stances from this bank compared to say big-4 banks?

    Thank you!
     
  7. Jamie Moore

    Jamie Moore MORTGAGE BROKER - AUSTRALIA WIDE Business Member

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    Adelaide bank are the most commonly known.

    Any particular reason why you want to fix the entire loan? If you go a split variable/fixed you can still link up an offset to the variable portion and will have a larger scope of lenders to choose from.

    Cheers

    Jamie
     
  8. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    rather than try to solve something you can get a broker or banker to solve pretty quickly, I usually suggest we back the bus up a block or 2

    Why the need for fixed and offset, and such a limited product mix ?

    ta
    rolf
     
  9. C-mac

    C-mac Well-Known Member

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    Great questions guys. In short; there's a lot of moving parts within my portfolio currently, and a new project on the way that will also require some capital. Without getting too specific on this public thread; there's one loan in particular in my portfolio that I'd like to lock away the security of a decent 3-year fixed rate with, whilst also having a 100% offset facility against it. I'll need a fully-fixed/100% offset and not a half-half (fixed/variable) as suggested above; since I'll likely fill up the 100% capacity reasonably quickly.

    I have many other offsets all whacked against their accompanying variable loans right now; but for this particular one a fixed + 100% offset is what will suit my needs + objectives with the coming variables/moving-parts ahead.
     
  10. tobe

    tobe Well-Known Member

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    Auswide bank is also an option.
     
  11. miximitosis

    miximitosis Well-Known Member

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    Teachers Mutual Bank/Unibank and Bank Australia are a couple of other options.

    Another option to consider is Heritage Bank who offer unlimited extra repayments/redraw on their fixed products.

    Of course, you will need to consider your personal circumstances (including tax) before deciding on an appropriate option.