Investors with 3 or 5 years IO remaing - there is a snag

Discussion in 'Loans & Mortgage Brokers' started by Rolf Latham, 7th Apr, 2020.

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  1. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    If you have say 3 years of IO remaining and you fix for 1 year IO, you may revert to PI at the end of the fixed term,

    Now that might be a bit of a repayment shock at the time

    Lenders that Im pretty sure do this are ANZ, VMA, BOC

    WBC and CBA are def ok

    I expect it wont be long before someone replies to my post with the research

    ta
    rolf
     
    Rolf Latham, 7th Apr, 2020
    #1
    Perthguy likes this.
  2. housechopper2

    housechopper2 Well-Known Member

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    seriously? I have never heard of this.
     
    housechopper2, 10th Apr, 2020
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  3. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    School of Hard Knocks

    Loans aint loans :(

    ta
    rolf
     
    Rolf Latham, 10th Apr, 2020
    #3
  4. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    NAB do it this way I think. Not sure anz does
     
    Terry_w, 10th Apr, 2020
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  5. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    So that makes 3 confirmeds

    Thanks for confirming NAB

    ANZ is def like that

    ta

    rolf
     
    Rolf Latham, 10th Apr, 2020
    #5