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At Prestige Lending Partners, we prioritize your dream home. With years of experience, we simplify the mortgage process, offering personalized service
Maximizing Your Home Loan: 5 Key Features You Need to Know About
1. Offset Account
An offset account is a powerful feature commonly found in standard variable home loans. It operates like a transaction account linked to your home loan, allowing you to offset the balance of your loan with the funds in your offset account. This means you only pay interest on the difference between your loan balance and the balance of your offset account. Opting for a 100% offset account can provide the greatest benefit, as it saves you interest at the same rate you’re paying on your home loan.
2. Unlimited Additional Repayments
For those looking to pay off their home loan sooner, the ability to make unlimited additional repayments can be invaluable. Unlike some loans that impose caps or restrictions on extra repayments, loans with this feature allow you to pay down your loan faster, saving you both interest and fees in the long term.
3. Split Loans
If you’re undecided between a fixed or variable interest rate, a split loan could offer the best of both worlds. With a split loan, you can divide your loan into fixed and variable portions, providing a balance of certainty and flexibility. This allows you to enjoy the security of fixed repayments while still taking advantage of potential interest rate reductions on the variable portion of your loan.
4. Redraw Facility
A redraw facility provides you with the flexibility to access any additional repayments you’ve made on your loan. Similar to an offset account, a redraw facility allows you to access extra funds when you need them, providing a safety net for unexpected expenses or emergencies. This feature gives you the freedom to pay off your loan faster while still having access to your extra payments if needed.
5. Package Deals
If you have multiple loans, such as a home loan, car loan, and personal loan, bundling them together into a package deal could save you money on interest and fees. By consolidating your loans with one lender, you may qualify for lower interest rates and reduced fees compared to taking out separate loans. While package deals offer attractive benefits, it’s essential to review your loans regularly with your mortgage broker to ensure they continue to meet your needs.
Experience the Difference with Prestige Lending Partners
At Prestige Lending Partners, we’re committed to helping you make the most of your home loan. With our expert advice and personalized service, we’ll help you unlock the full potential of your mortgage and achieve your financial goals. Contact us today to discover how we can help you maximize the benefits of your home loan.
