Rates Update: More than 100 home loans under 3.5% pa
Announcement posted by Infochoice 10 Nov 2019
Sunday 10 November 2019
· 100 VHL rates under 3.5%
· One new bank still way out in front of TD market
· Savers must compare rates outside of big four
More than 100 variable rate home loans under 3.5 per cent
There are now many more than 100 variable home loan products with comparison rates under 3.5 per cent pa, now listed on InfoChoice’s database of 145 institutions and 1800 home loans.
Most of these are owner-occupier home loans requiring principal and interest repayments but there are some interest-only loans and investor loans among the low-rate leaders now with rates under 3.5 per cent pa.
Twenty lowest (variable comparison rate) home loans listed on InfoChoice for owner occupiers (10/11/19)
| Institution Title
| Product Title
| Account - Repayment Options
| Rate - %
| Rate - Comparison %
|
| Reduce Home Loans | Rate Slasher | |PI| | 2.69 | 2.7 |
| Reduce Home Loans | Low Rider Variable | |PI| | 2.69 | 2.71 |
| Reduce Home Loans | Rate Buster | |PI| | 2.77 | 2.78 |
| Reduce Home Loans | Rate Lovers | |PI| | 2.77 | 2.79 |
| Freedom Lend | Owner Occupied Variable P&I 80% | |PI| | 2.79 | 2.79 |
| G&C Mutual Bank | First Home Premium Package - Owner Occupied (P&I) | |PI| | 2.79 | 2.79 |
| Athena Home Loans | Owner Occupier Principal & Interest | |PI| | 2.84 | 2.8 |
| UBank | Discount Offer for Owner Occupied Variable P&I Rate (>$700,000) | |PI| | 2.84 | 2.84 |
| UBank | Discount Offer for Owner Occupied Variable P&I Rate over $200,000 | |PI| | 2.84 | 2.84 |
| Freedom Lend | Owner Occupied Variable IO 80% | |IO| | 3.09 | 2.88 |
| loans.com.au | Smart Home Loan | |PI| | 2.88 | 2.9 |
| Well Home Loans | Well Balanced (Standard) | |PI| | 2.92 | 2.96 |
| UBank | Discount Offer for Owner Occupied Variable P&I Rate (<$200,000) | |PI| | 2.99 | 2.99 |
| Athena Home Loans | Owner Occupier Interest Only | |IO| | 3.34 | 2.99 |
| Bank of Sydney | BOSBasic Home Loan - Owner Occupier | |PI| | 2.96 | 3.01 |
| ING | Mortgage Simplifier ($1m+ where LVR <=80% - O/Occ) - Principal & Interest | |PI| | 2.99 | 3.02 |
| Mortgage House | The Essentials Low Rate Home Loan | |PI| | 2.99 | 3.02 |
| Freedom Lend | Owner Occupied Variable P&I 90% | |PI| | 3.04 | 3.04 |
| ING | Mortgage Simplifier ($150k - $499 where LVR<=80% - O/Occ) P&I | |PI| | 3.03 | 3.06 |
| ING | Mortgage Simplifier ($500k-$1m where LVR <=80% - O/Occ) - Principal & Interest | |PI| | 3.03 | 3.06 |
“Switching from a loan charging 4.5 per cent to a loan charging 3.5 per cent can reduce your repayments by around $50,000 in total over the life of the loan,” said Vadim Taube, CEO of leading Australian financial comparison site InfoChoice.com.au.
According the InfoChoice refinancing calculator, a switch from a 4.5% pa, 25-year, $300,000 loan to a 3.5 % pa loan could reduce repayments by $49,688.02 in total and $160 immediately every month.
Monthly repayments could come down $165.63, from $1,667.50 to $1,501.87.
One new bank still way in front of term deposit market
Brand new entrant to the banking scene in Australia, Judo Bank is a lender to small and medium business. For retail consumers, Judo bank offers market-leading term deposit rates.
In the 12-month TD market, Judo is offering 2.0 per cent pa, 0.2 per cent more than the next highest rate listed on InfoChoice today (10/11/19).
The highest term deposit rate now on offer from a big four bank (listed on InfoChoice today) is ANZ Bank’s 1.6 per cent pa for 7-month term.
| Institution Title
| Minimum Tier $
| Rate - 1 Year Paid Annually %
|
| Judo Bank | 1000 | 2 |
| SCU | 100000 | 1.8 |
| Bank of Sydney | 25000 | 1.75 |
| MyLife MyFinance | 5000 | 1.75 |
| Teachers Mutual Bank | 5000 | 1.75 |
| UniBank | 5000 | 1.75 |
| ME | 5000 | 1.72 |
| Qudos Bank | 5000 | 1.7 |
| SCU | 50000 | 1.7 |
| Suncorp Bank | 1 | 1.7 |
Commonwealth Bank is paying up to 1.45 per cent pa for a 12-month term.
Westpac and NAB are paying 1.20 per cent pa on 12-month term deposits.
“CPI inflation is now 1.7 per cent pa so savers really need to be comparing rates and be prepared to move their money to a new banking institution,” said Vadim Taube.
“All authorised deposit taking institutions in Australia are covered by the Commonwealth government’s deposit guarantee scheme, for amounts up to $250,000.
“So Australian can have confidence in switching deposits between banks to get the best rates,” sad Vadim Taube.
Go straight to the latest rates information from individual banks and other institutions here.
For more information on Savings account rates, data and commentary, please contact:
Jason Bryce, Media Manager on 0428 777 727 jason.bryce@infochoice.com.au
For more comments, please contact: Vadim Taube, Chief Executive on 0403 580 794
* listed on InfoChoice’s database of 1800 home loans and 145 institutions in Australia.
Comparison rate is based on a secured loan of $150,000 over the term of 25 years. WARNING: These comparison rates apply only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and costs savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan
InfoChoice is a leading Australian comparison website for retail banking and personal finance products. We’ve been helping Aussies find great offers on credit cards, home loans, savings accounts, term deposits, personal loans and car loans for over 25 years. Our mission is to help consumers make an informed purchasing by bringing together the most comprehensive list of financial products on the market today.
At InfoChoice, we strive to be:
• Comprehensive. We compare more than 3500 individual products from 145 providers within Australia to offer you the best value.
• Informative. We know how important it is for you to crunch the numbers before buying. Our calculators help you understand the cost of different products over the long term and show you the potential savings.