The Offset Effect

 Help pay off your loan sooner

 Pay less interest

 Easy to manage loan repayments

Why choose an offset redraw facility?

Many people choose to take out a home loan with a 100% offset redraw facility because it can help them to pay off their loan faster, and with less interest.
Whenever you put money into your offset redraw facility that money is 100% “offset” against your home loan.

Let’s look at an example:

Say you had a home loan of $350,000 and you put $10,000 into your offset redraw facility.

This would mean that you only pay interest on $340,000.

Your monthly repayment won’t change, but you will be paying more off on your home loan principal each month, so you will pay off your mortgage faster and with less total interest.

Importantly, while your money is in the offset you can still access it online or via VISA Debit and ATMs.

For that reason, many people choose to maximise the “offset effect” by having their salary paid into their offset redraw facility, and drawing it out it as they need it.1

Online doesn't mean impersonal, lets talk!

Brodie has been with loans.com.au for over 4 years. As an experienced Lending Manager, Brodie can answer all your questions and help you start saving sooner.

Speak to one of our friendly and experienced Lending Managers, like Brodie, to find the right low rate loan package for you.

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The benefits of an offset redraw facility

In summary, the benefits of an offset redraw facility are threefold:

  • 1. You can still access the money in your offset facility for regular withdrawals, transfers and bill payments
  • 2. You can pay off your loan faster, and with less interest
  • 3. You may find it easier to manage your loan repayments by consolidating your finances in one account.

100% online means you save

Loans.com.au doesn’t have a branch network to maintain or mobile bankers to pay. Fewer overheads mean doing business costs less and those savings translate directly into lower interest rates and fees for you.

By keeping our interest rates low and revolutionising the loan application process, loans.com.au is taking competition up to the big four banks and challenging the status quo of the home loan industry in Australia.

Features, rates & fees brochure

Get all the information you need on different loan features, rates & fees in this easy-to-read loans guide.

From streamlined packages to fully-featured loans, you will find the low-rate home loan to suit your lifestyle.

 

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