Renegotiate Rate Advice

Hi all,

I'm wondering if I approach my PPOR lender, a big 4, for a lower more competitive rate if I have to provide payslip evidence? I'm paying 4.19% and there's obviously better rates available but I'm in a little pickle.

I've had the loan for over 10 years, never a problem with repayments. 12 months ago I decided instead of perm work, I'd contract on a day rate, which earns more. However because I do this through my own pty ltd I'm considered self employed. After business expenses (I bought a car with cash) my on paper salary is lower than required for serviceability. If I add the car purchase back to my wages, I meet servicability but the banks I've spoken to won't take this approach. ugh.

I don't want to wave a red rag to a bull for the sake of 0.5%.

Thoughts please?

 

no evidence of income needed.

Just ask for a discount.

 

Call them with a competitors offer.

Be confident.

Tell them you’re refinancing but wanted to see what that would offer before you left.

Cheers

Jamie

 

When you stay with your existing bank, but move from (say) a variable rate to a lower fixed rate, is the brokers trailing commission impacted? Alternatively, if you just negotiate a lower rate, is your broker affected. I always like to look after my broker, and maintain the relationship in the longer term, so just asking the question.

 

Thanks Terry & Jamie, appreciate your time. What if they ask to update their information on file and ask who my current employer is?

 

No effect generally

 

Why would they do that?
Tell them it is none of their business.

 

Not usually.

If they get you to submit a new application it could do - but if it’s a straight switch of products then usually it won’t.

Cheers

Jamie

 

They rarely ask for new payslips for rate discount. Maybe ask they to put you to their retention team, and tell them you want to leave because you find a better offer.