Review your home loan every 2-3 years
What do banks love? Â Customers who do not review their home loan. Â Those that get their loan and let it run along for 5 or 10 years without doing anything. Â They love you!! Â Why? Because it means that they do not need to offer you anything to keep your business. Â Also, because your loan has been with them for a while your interest rate would have slowly been creeping up as well.
Banks usually have their best offers for new to bank customers. Â You may have been with your bank for a few years on a rate of 4.35% but have the option to look at another bank at 3.90%. Â On a loan amount of $500,000 this is a saving of $2,500 per year. Â Over 4 years this is a saving of $10,000 – what else could this go towards?
A Broker is able to provide you with some options with what you could save if you were to refinance your loan.
Yes, it may be a little annoying with the paperwork, no-one likes that. Â Depending on the bank, there may not be too much information that is required. Â Provide your broker with a bit of information and let them get to work on saving you money.
If you have a car you have it serviced to make sure it runs efficiently. Â So, why would you not do the same with your finances. Â You could save on your home loan and use that money to reduce other debt. Â Or even save to go on that holiday or do something for yourself that you have been wanting.
Have you had your home loan now for 2 years or more? Â Contact me to see if I can save you some money.
