4 rival lenders making the banks look bad
Mozo
02 Feb 2021
The big banks have made headlines for refusing to pass through the latest RBA rate cut to variable home loan customers, opening an opportunity for smaller lenders to woo borrowers with lower rates and a refreshing customer first commitment. With a number of smaller lenders cutting their already competitive rates to new record lows, there are now some genuinely big savings available for those who are prepared to shop around.
The big banks might be easy targets when it comes to offering better value, but rival lenders are also winning customers over with more efficient approval processes and fast online applications. And with so many challengers to the big banks popping up - from challenger banks to online lenders and customer-owned institutions - there’s more reason than ever before to spend some time comparing your options to get the best value around.
So if you’re over high interest rates and steep fees, check out these killer lenders giving the big banks a run for their money right now.
MORTGAGE CRUSHING HOME LOANS
loans.com.au Smart Booster Home Loan
1.99% intro variable rate for 1 year
Rolls over to low ongoing 2.48% (2.47% comparison rate*)
Optional offset account plus free redraws and extra repayments
Popular online lender loans.com.au has been taking on the banks since 2011, and the Smart Booster is really getting borrowers switching. This headline-stealing home loan is designed to help you boost your savings, build your equity and own your own home, sooner. Flexible features include unlimited free extra repayments and redraw, multiple loan split options and an optional offset account for 0.10%. What's more, there are no ongoing monthly or annual fees. Available to borrowers with a 20% deposit for loans of up to $1 million.
Where do I get it? Head over to loans.com.au to find out more >>
Bank of Queensland Discount Fixed Rate
1.89% fixed rate for 2 years (3.05% comparison rate*)
$3,000 cashback for refinancers (T&Cs apply)
Mozo Experts Choice Best Fixed Rate Home Loan 2021
BOQ is a favourite with borrowers looking to find value outside of the big four banks, and for good reason. The BOQ Discounted Fixed Home Loan lets you lock in a super low rate for two years while still having the flexibility to pay down your mortgage faster with free extra repayments of up to $5,000 a year. Plus, you can enjoy a generous $3,000 cashback when you refinance to BOQ. Minimum loan size $250,000, 80% LVR or less.
UBank UHomeLoan - Discount Offer
Low 2.34% p.a. variable and comparison rate*
Zero fees plus free extra repayments and redraw
Flexible repayment options
UBank is the online bank created by NAB to disrupt borrowing and savings, and boy have they succeeded! Offering super competitive interest rates, zero upfront or ongoing fees and ultra-efficient online processes, it’s little wonder UBank has become such a success story. The UHomeLoan 2.34% variable and comparison rate* is available for loans of $200,000 or more with a minimum deposit or 20%.
Where do I get it? Head over to UBank to find out more >>
Macquarie Basic Home Loan
2.09% fixed rate for 3 years (2.56% comparison rate*)
Save on fees with $0 upfront and monthly fees
Free redraws and extra repayments
Macquarie is really making waves in the mortgage market, becoming Australia's 5th largest home loans lender in 2020. Proving that banks can offer great value, Macquarie is winning over borrowers with competitive rates, low fees and flexible ways to repay your loan faster, including the ability to split your loan and set different repayment types. To start the simple switching process, simply request a call on the Macquarie website. Minimum 30% deposit.
Where do I get it? Head over to Macquarie to find out more >>
^See information about the Mozo Experts Choice Home loans Awards
Want to check out other borrowing options? Head over to our home loan comparison table to get the ball rolling.
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