Interest rate discounts for the Partnership Advantage variable loans are tiered, so you get a greater discount by borrowing more. Both variable and fixed rate loans are available, but variable rate loans offer more features.
Partnership Advantage Loan – variable
Variable loans are offered with a 100 per cent offset facility that comes with up to eight linked accounts, allowing you to save and pay off your home loan at the same time. You can make extra repayments as you like and redraw these additional monies at no additional fee. Nor is there a penalty for early payout.
The interest rate discounts on variable loans are generous - up to 0.96 per cent off the standard variable rate for loans of more than $400,000. You also get a generous 0.86 per cent discount for loan amounts between $250,000 and $399,999 and 0.56 per cent for amounts between $150,000 and $249,999.
Interest only options are also available. In addition, if you link your loan to a Regional Australia Bank transaction account and maintain a minimum balance of $5000 in that account, your transaction account will be fee-free.
The Your Choice Visa credit card that comes with the package includes a 5 per cent discount on credit card interest rates and the annual fee is waived. The card has a minimum credit limit of $5000.
Additional benefits include a 10 per cent discount on CGU general insurance policies and a free initial appointment with a financial planner.
Borrowers need a 5 per cent deposit or available equity but if you have a 20 per cent deposit you can avoid paying lenders mortgage insurance. The variable loan is available for 25 years.
Partnership Advantage Loan – fixed
Fixed loan terms are available for one, two, three and five years, and you should note that that is a more limited selection than some other lenders offer.
The insurance discounts and financial planning session are included with the fixed rate loan, but the interest rate discount is only 0.1 per cent off the advertised rate, whatever the term of the loan.
The 100 per cent offset facility is not available for fixed loans. Nor is the free redraw. You’ll get charged for an early payout and making additional repayments. This is strict, because several other home lenders allow repayments of up to $10,000, and even $20,000 in some cases.
Who is the Regional Australia Bank Partnership Advantage Loan good for?
The Regional Australia Bank’s Partnership Advantage Loan package is good for both owner-occupiers and investors. There is no additional interest rate charge to investors and the package offers flexibility and some financial planning. But if you’re looking for the best value fixed rate loan, you may want to shop around a little more as the conditions on fixed loans are stricter than those many other lenders offer.
Review - What RateCity says
The Partnership Advantage Loan package could suit you if you’re looking for a home loan with a moderately low interest rate and you’re keen to keep all your banking products in one place. The annual package fee is line with those charged by the big banks – but the benefits may not be as great, with no repayments allowed on fixed loans, fixed terms are limited as is the discount. The annual package fee remains the same though so bear this in mind if you opt for a fixed loan.
You’ll also be charged to use a transaction account if the balance falls below $5000. But there are other savings to be made in terms of discounted insurance, a fee-free credit card and a financial planning consultation. However, the smaller branch and ATM network may be a drawback for you, depending on where you live so check the locations on the Community Mutual Group website.
Regional Australia Bank Partnership Advantage Loan Options
The Community Mutual Group’s Partnership Advantage package has a dozen loan options to choose from to help you find the one that suits you and your financial goals the best. Click on the links below to get more specific information regarding each loan type.
Go To Site
Advertised rate3.99%Fixed - 3 years
Advertised rate3.89%Fixed - 2 years
Advertised rate3.89%Fixed - 1 year
Advertised rate4.59%Fixed - 5 years
Advertised rate4.49%Fixed - 3 years
Advertised rate4.39%Fixed - 2 years
Advertised rate4.39%Fixed - 1 year
Advertised rate5.09%Fixed - 5 years