Are you being cooked by your interest rate increasing faster than it should? Many banks sign new homeowners at competitive interest rates. They ‘lock in a discount for the life of the loan’ making it seem like you always have access to the best possible rate. Do you really?
Slowly but surely, the standard variable rate increases, meaning those homeowners that locked in a discount years ago no longer receive the same rate as new loans. People refer to this as the ‘loyalty premium’. Is that fair?
The only way to ensure you get the same rate as new lending is to negotiate a better deal. Unfortunately, if your loan to value ratio (LVR) exceeds 80% of the value of your property, you will likely be asked to pay Lenders Mortgage Insurance (LMI) again. Then, if you need to move again, you pay again.
Our Leg Up helps you get the best deal possible. Not only can you access the same rate as a new loan when you refinance but you can access the rate given to loans with LVR <80%. Take control of your loan, don’t get slowly cooked by an unfair deal.
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