Mortgage Insurance Reimbursement

Discussion in 'Loans & Mortgage Brokers' started by In-sight-ful, 18th Sep, 2017.

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  1. In-sight-ful

    In-sight-ful Member

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    I had a whopping 15k mortgage insurance from CBA, on a 2 year fixed loan. I have auctioned my property this weekend and settling after the 2 year fixed term is over.

    I was under the impression that like other insurances, I could expect a reimbursement of the insurance for my mortgage, which am not using anymore.

    Called CBA to find out, they aren't going to be doing that. Felt that was odd! Has anyone had this experience and managed to workaround it?
     
    In-sight-ful, 18th Sep, 2017
    #1
  2. Propertunity

    Propertunity Well-Known Member

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    I've had MI partially refunded on refinancing to another lender BUT within less than 2yrs. Over 2 years = no refund.
     
    Propertunity, 18th Sep, 2017
    #2
  3. D.T.

    D.T. Specialist Property Manager Business Member

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    They used to in the past I think, dont think this happens any more.

    One of the more experienced mortgage brokers like @Corey Batt might be able to tell you
     
    D.T., 18th Sep, 2017
    #3
  4. DaveM

    DaveM Well-Known Member

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    No you dont get a refund. But as LMI is deductible at 20% PA (ie over 5 years) you claim the residual back as part of your CGT calc
     
    DaveM, 18th Sep, 2017
    #4
  5. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    best of luck :(

    ta
    rolf
     
    Rolf Latham, 18th Sep, 2017
    #5
  6. Corey Batt

    Corey Batt Well-Known Member

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    I don't believe CBA does anymore. There are a few which I think still do based on some recent conversations where they will provide a partial reimbursement - but I wouldn't rely on this anymore.
     
    Corey Batt, 18th Sep, 2017
    #6
  7. Brady

    Brady Well-Known Member

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    Answer in your other thread.

     
    Brady, 18th Sep, 2017
    #7
  8. Colin Rice

    Colin Rice Mortgage Broker Business Member

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    They used to do a partial refund of up to 40% but dont think it is applicable anymore but if you dont ask you dont get so worth a shot.
     
    Colin Rice, 19th Sep, 2017
    #8