Hunter United’s Low Fixed Rate Loan offers different interest rates depending on the length of your fixed rate period. After this fixed term expires, the loan will revert to Hunter United’s basic variable rate.
You have the ability to make additional repayments during your fixed rate term, but the amount of additional money you can pay in is capped at three per cent of the original loan amount. If you exceed this amount you will incur break fees and these can run into thousands. There is no redraw facility with this loan.
Be aware however, that your interest rate will no longer remain the same and you may find your repayments become higher.
The Low Fixed Rate Loan is good for you if you would like certainty around how much of your loan you will be paying off, especially in the early stages of your loan repayments. This can help in managing your money and planning your financial future – the more clarity you have around your cash flow the better. This loan is applicable for first home buyers as well as investors, and refinancing owner occupiers.
Hunter United’s Low Fixed Rate Loan is a viable option if you’re looking for certainty as you enter the property market, or for planning financing around an investment property. It is wise to ensure you have a plan in place for what you intend to do once your loan transitions from the fixed rate period to the variable rate loan. With some careful forward planning this loan can allow you to start easily, and then ramp up your repayments later on to reduce your loan amount and save yourself money.