the cash rebate mortgage broker for home loans in Australia

mortgage broker home loansCalculate home loan or investment mortgage costContact the mortgage broker for home loanCash rebate on your home loan or investment loan

home loans from mortgage brokers with cash back Get a great home loan from the mortgage broker who shares the commission lenders pay with you!


Easy Online Inquiry
Free Investment Software
Investment Digest
Property Listing
Testimonials
Newsletters
Lots of other stuff

MFAA Full Members
FBAA Full Member

My status
Skype



Offset accounts 

An 'offset' account is a sophisticated way of 'fine tuning' your lending requirements to your earnings and your daily spending. In addition to your home loan, you have a transaction account with the same financial institution. 

You deposit your income into the transaction account and use it for all your daily expenses. Any money in this account is offset against the amount owing on your home loan and you only pay interest on the outstanding balance. So say, for example, that you have a home loan of $250,000 and you have a balance of $10,000 in your transaction account, you only pay interest on $240,000. Interest is calculated on a daily basis. 

Obviously your money is 'working harder' for you - your salary reduces interest payments from the day it is credited to your account.  You never borrow more than you need, and any extra you come across is working for you the moment it hits your account - at the same time as being fully available for you to access whenever you want - usually by just writing a cheque or going on the net. 

Remember however that an offset account is often expensive if you don't get it as part of a professional package.  Why?  Because you usually pay more interest on home loans which give you access to an offset account - there are exceptions.  If you're eligible for a 'professional package' type product, we suggest you 'go for it'. If not, you might be better off with free unlimited redraw facility - such as the ING Mortgage Simplifier.