Not only does the RBA Rate Tracker Home Loan promise to reward you in full with any Reserve Bank rate reductions, but you’ll also get that discount within 2 working days. When you consider that some banks take weeks to pass on RBA rate cuts, this really is a great value offering and could end up saving you some significant coin. But of course, keep in mind if there are any rate increases down the track, you’ll be hit with a speedy rate hike on your loan.
That’s enough about how Auswide Bank tracks RBA movements - onto the nitty gritty stuff. The RBA Rate Tracker Home Loan is available to owner occupiers, who are only looking to borrow up to 80% of the property’s value (loan must be over $150,000). When you sign up with this loan you’ll be charged a competitive 3.99% variable interest rate (4.01% comparison rate). While there is a $300 application fee, all other upfront costs like legal, valuation and settlement fees are waived. You’ll also be charged $0 ongoing fees over the life of the loan.
When it comes to features, there's plenty on offer - your choice of repayments either weekly, fortnightly or monthly, an extra repayments and redraw facility, not to mention the option of a repayment holiday if you’re ahead on your repayments. But one thing you do miss out on with the RBA Rate Tracker Home Loan is an offset account.
Who it's good for:
If you are looking for a low cost home loan that gives you the certainty that your lender will pass on RBA rate changes in full and within a short timeframe, then the RBA Rate Tracker Home Loan is the ideal choice.
To be eligible for the RBA Rate Tracker Home Loan, you’ll need to open a transaction account with Auswide Bank.