The Mortgage Saver Loan offers the flexibility of unlimited additional payments for mortgage holders who wish to pay off their loan fast.
It also comes with a redraw facility, which allows borrowers to redraw any additional payments they might have made if the funds are needed elsewhere. It’s worth noting a small redraw fee is applicable for every withdrawal.
The RACQ Bank Mortgage Saver is a solid option for owner-occupiers who want a straightforward loan with a reasonable variable interest rate and minimal fees. It may allow them to refinance quickly and enjoy some flexibility in terms of managing their payments.
This loan is designed for owner-occupiers, not investors.
The QT Mutual Bank Mortgage Saver has some strong features that could help borrowers refinance quickly. It offers unlimited additional repayments, no ongoing fees, and the flexibility of a split loan option, but does not have a 100 per cent offset account.
This loan won’t suit investors, but it may suit owner-occupiers who want a reasonably low interest rate and do not wish to pay ongoing fees. The split loan function is also an appealing proposition in this interest rate market.
Borrowers should note however, that it comes with moderate to moderately-high upfront costs and fees attached to its redraw facility. Borrowers interested in this loan should balance the fees against the likely savings a low interest rate and unlimited repayments could offer them.
The Mortgage Saver offers a range of options, with small minimum loan and deposit amounts.