With official interest rates on the move, shrewd mortgage holders may take the opportunity to call their lender to ask for a better deal.
But when even a small interest rate reduction means potential savings of thousands of dollars, is a simple phone call really enough to get you there?
While a number of lenders offer lower rates to new customers, it’s not always so simple for existing customers to secure the same outcome.
If you’re looking for a better deal on your mortgage, there are basically two options:
-
Call your bank and ask them to match the new rate.
-
Contact your broker and vote with your feet.
Although the first option is commonly recommended, lenders aren’t always so obliging when it comes to rate-matching to get you a more affordable mortgage.
Lenders regularly try to ‘win’ new customers by offering low rates, but if they refuse to match your current rate to this new offer, you can always contact a finance broker and refinance with a lender who is hungry to win your business.
Mortgage brokers have access to a range of lenders and products, and are also in a position to offer you a more in-depth and customised level of service. This can allow them to find their customers a mortgage product that may suit their current needs, wants and circumstances.
Call us on (07) 3844 3899 to discuss your refinancing options.
Source: MFAA
Reproduced with the permission of the Mortgage and Finance Association of Australia (MFAA)
Important:
This provides general information and hasn’t taken your circumstances into account. It’s important to consider your particular circumstances before deciding what’s right for you. Although the information is from sources considered reliable, we do not guarantee that it is accurate or complete. You should not rely upon it and should seek qualified advice before making any investment decision. Except where liability under any statute cannot be excluded, we do not accept any liability (whether under contract, tort or otherwise) for any resulting loss or damage of the reader or any other person. Past performance is not a reliable guide to future returns.
Any information provided by the author detailed above is separate and external to our business and our Licensee. Neither our business nor our Licensee takes any responsibility for any action or any service provided by the author.
Any links have been provided with permission for information purposes only and will take you to external websites, which are not connected to our company in any way. Note: Our company does not endorse and is not responsible for the accuracy of the contents/information contained within the linked site(s) accessible from this page.
