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QBANK Classic Home Loan

Features

Borrowers who choose the QBANK Classic Home Loan will find that in addition to a low rate of interest, they’ll benefit from several features and facilities that will allow them to reduce interest costs on the loan.

There are no monthly fees and some flexible repayment options, including no penalty for extra repayments and weekly, fortnightly or monthly repayments.

An electronic redraw facility is available, so that borrowers can withdraw any funds put into repayments quickly and for free.

Borrowers will also have some control over the payment structure of their loan. Loan splits are available, so that borrowers who would like a little more dependability in terms of payments will be able to devote a portion of their loan to a fixed interest rate and keep some of it variable.

Interest only payments are available with this loan for up to ten years. Paying off just the interest within the loan term means you can take advantage of lower repayments, which may suit owner occupiers or investors who are confident of making a capital gain if they sell the property.  However, interest costs are higher than they would be with principal and interest repayments.

Borrowers can top up their loan at any time if they need more money for renovations or other purposes, with a minimum top-up of $10,000.

You can borrow up to 95 per cent of the property’s value with this loan. But with a deposit of less than 20 per cent, borrowers will need to pay for lenders mortgage insurance. You need to note that such insurance protects the lender, not you, against default.

Who is the QBANK Classic Loan good for?

The Classic Loan will suit borrowers looking for a low rate of interest, no ongoing fees, and a good amount of control over exactly how their payments will work. The opportunities for speedy refinancing that the Classic Loan features might appeal to both owner-occupiers and investors. Investors might also like the option of extended interest-only repayments.

Review - What RateCity says

The QBANK Classic Loan offers borrowers a competitive interest rate along with some flexible options for managing repayments and structuring their loan to meet their needs. The combination of additional repayments without penalty, extended interest only payment terms and no monthly fees will appeal to many borrowers. Borrowers can split their loan if they want more payment certainty, or they can top up their loan for renovations or other purposes at any time. However, QBANK has a limited branch network that may put off people living outside of Queensland. Moreover, while this loan is versatile, it comes at an initial high price, which borrowers will have to weigh up against the benefits of the loan.

QBANK Classic Home Loan Options

 The QBANK Classic Loan offers a number of options, including special offers for new customers.

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Variable Rates from

3.88%

Advertised rate

3.89%

Comparison rate
Pros
  • Low interest rate.
  • No ongoing fees.
  • Additional repayments allowed.
Cons
  • No offset account.
  • Limited branch network.
  • Large upfront fee.
Eligibility

Australian resident.

At least 18 years of age.

Member of QBANK.

Proof of income.

Suitable For
  • First Home Buyers
  • Owner-Occupiers
  • Refinancers
  • Investors
Fees
  • Estimated upfront fees: $1576 - $676
  • Discharge fees: $200
  • Ongoing fees: $0

The QBANK charges no ongoing fees for the Classic Loan, but you’ll need to weigh that up against a relatively hefty upfront fee well above that charged on similar loans from other lenders. Borrowers must also pay a relatively low discharge fee when it comes to terminating the loan, but this is standard practice.

Features
  • Redraw facility
  • 100% offset account
  • Unlimited extra repayments
  • Weekly repayments
  • Fortnightly repayments
  • Monthly repayments
  • Loan allows split interest rate
About QBANK

QBANK was founded in 1964 to provide financial services to emergency and public service employees in that state. It prides itself on a customer-focused attitude. QBANK has three branches in Brisbane. Members can also call the service centre five days a week for personal service. You can also access your accounts via a national network of  ATMs, a mobile banking app, internet banking and telephone banking facilities 24/7, as well as Bank@Post.

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