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Bank Australia Home Loans

Bank Australia (formerly Bankmecu) is Australia’s largest customer-owned bank formed by a number of credit unions. Being 100 per cent customer-owned, Bank Australia reinvests profits back into the bank in a bid to provide fairer fees and better interest rates.

Bank Australia was founded in 1957 and now offers a range of financial products and services. Based in Victoria, Bank Australia employs over 350 staff across Australia and holds assets in excess of $2.8 billion.

Bank Australia strives to be environmentally-friendly with its home loans, and helps offset the loss of vegetation and other biological diversity resulting in the building of new homes.

In 2010 Ethical Investor named Bank Australia as “Australia’s Most Sustainable Small Company Of The Year”.

Bank Australia - Premium Loan

Bank Australia’s Premium Loan is a variable rate mortgage that enables customers to benefit from an increasingly reduced rate the more money they borrow. With amounts starting from $100,000 increasing to in excess of $750,000, the biggest discounts apply when more than $750,000 is borrowed.

Customers can borrow up to 95 per cent of the property value for a period of one to 30 years. During this term borrowers can choose to fix their loan rate or split between fixed and variable rates.

Suitable for buyers with low deposits, the Premium Loan allows parents to sign as guarantors and offers 100 per cent offset and redraw facilities.

The Premium Loan from Bank Australia offers customers the ability to repay as much of their loan as they wish without incurring penalties. Borrowers also have the flexibility to choose a weekly, fortnightly or monthly repayment schedule on an interest only or principal and interest basis.

Bank Australia - Basic Loan

Bank Australia’s simplest home loan offers customers the opportunity to fix their loan or split the interest rate between fixed and variable. Relatively low interest rates make this Basic Loan suitable for investors and first home buyers. The latter will benefit from this product allowing parents to sign as guarantors.

Other advantages include repayment holidays, should circumstances change, redraw facilities and the ability to make additional repayments without incurring penalties. Customers can borrow up to 95 per cent of the property value for a period of one to 30 years. Offset is unavailable with this loan and fees apply on application.

Bank Australia - Line of Credit Loan

Bank Australia customers can use the equity they've built up in their home and borrow against it. Operating like a credit card with a set limit and interest charged only on the amount borrowed, customers can enjoy low home loan interest rates with Bank Australia’s Line of Credit Loan.

For a period between one and 30 years customers can borrow up to 80 per cent of a property’s value with the option of fixing their loan or splitting the interest rate between fixed and variable.

Customers can benefit from flexible repayment schedules with weekly, fortnightly and monthly repayment options, however offset and redraw facilities are unavailable.

Bank Australia - Package Premium Loan

Similar to the Premium Loan Bank Australia’s Package Premium Loan enables customers to benefit from a more favourable interest rate with the more money they borrow. Customers can borrow up to 95 per cent of the property value for a period of one to 30 years and benefit from 100 per cent offset and redraw.

As part of a package, customers can enjoy fee waivers and discounts across a range of Bank Australia products (when the home loan amount exceeds $250,000). Free building insurance is also included for three months.

Home Loans from Bank Australia

Company
Product
Advertised Rate
Comparison Rate
Monthly Repayment
Go To Site
Bank Australia
Advertised Rate3.98%

Variable

Comparison Rate3.99%
Monthly Repayment$1192

over 30 years

Go To Site
Bank Australia
Advertised Rate4.10%

Variable

Comparison Rate4.11%
Monthly Repayment$1209

over 30 years

Go To Site
Bank Australia
Advertised Rate4.24%

Fixed - 2 years

Comparison Rate4.45%
Monthly Repayment$1259

over 30 years

Details
Bank Australia
Advertised Rate4.34%

Fixed - 3 years

Comparison Rate4.46%
Monthly Repayment$1261

over 30 years

Details
Bank Australia
Advertised Rate3.85%

Fixed - 2 years

Comparison Rate4.47%
Monthly Repayment$1262

over 30 years

Go To Site
Bank Australia
Advertised Rate4.44%

Fixed - 1 year

Comparison Rate4.49%
Monthly Repayment$1265

over 30 years

Details
Bank Australia
Advertised Rate4.19%

Variable

Comparison Rate4.53%
Monthly Repayment$1271

over 30 years

Details
Bank Australia
Advertised Rate4.59%

Fixed - 5 years

Comparison Rate4.54%
Monthly Repayment$1273

over 30 years

Details
Bank Australia
Advertised Rate4.39%

Fixed - 1 year

Comparison Rate4.55%
Monthly Repayment$1274

over 30 years

Details
Bank Australia
Advertised Rate4.29%

Fixed - 3 years

Comparison Rate4.56%
Monthly Repayment$1276

over 30 years

Details
Pros
  • Suitable for low deposits.
  • Opportunity to bundle financial products together.
  • Discounts available on interest rates.
  • Split loan options are included.
  • Flexible repayment schedule with weekly, fortnightly and monthly repayment options.
Cons
  • Some products include fees.
  • Early exit fees apply to some products.
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Customer Service

Bank Australia has over 30 branches located across Australia, and it’s customers have access to more than 3000 rediATMs nationwide. Home loan customers can get in touch with Australia Bank by calling the customer service centre or seeking face-to-face advice in branch. Customers can also use online banking and a mobile app 24-hours a day. Email and post are also options for contact.

Customer service centre (phone)

Mobile app

Online banking

Email

Branch

Applying and Eligibility

Bank Australia home loan customers can visit a branch for assistance or seek further information by calling the customer service centre. Alternatively, customers can submit their contact details online and Bank Australia will get in touch with a courtesy call to help facilitate the application process.

By applying online customers can choose a time that’s most convenient for their needs and receive an indicative decision within minutes. Before committing to any loan customers should conduct thorough research and calculate how much they can afford to borrow.

To assist in completing a loan application customers should have the following documentation:

  • Personal identification.
  • Personal income details.
  • Details of current debts and assets.
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