Bank Australia Basic Home Loan

3.74% p.a.

3.75% p.a.

$0.00

3.86% p.a.

3.87% p.a.

$0.00

4.87% p.a.

4.87% p.a.

$0.00

5.07% p.a.

5.07% p.a.

$0.00

Bank Australia Basic Home Loan Review

Rates and fees information correct as at 19 August 2017.

Review published: 21 July 2014

What's hot:

  • 3.74% special variable rate (for LVRs under 70%)

  • Low standard variable rate at 3.86%

  • Borrow up to 80% LVR

  • Mozo's Experts Choice Award Winner 2017

What's not:

  • No offset account available

Mozo snapshot:

Attention home loan seekers: If you are looking for a great value home loan, the Bank Australia Basic Home Loan is one to put on your hit list. Why? The Basic Home Loan has all the handy essentials you need to fulfil your home ownership dreams - no monthly fees, flexible repayments and a competitive variable rate as the cherry on top. In fact, it picked up three wins at this year's Mozo's Experts Choice Awards for Best Value Low Cost Home Loan, Best Value Fixed Home Loan and Best Value Split Home Loan.

Key features:

With a low variable interest rate of 3.86% for owner occupiers (or an even lower special variable rate), the Basic Home Loan is a loan that will suit everyone from first home buyers through to seasoned property investors.

You can borrow up to 80% LVR, which means that for first home buyers and investors, the minimum deposit required is 20% and you will need lenders mortgage insurance for anything over an LVR of 80%. The maximum loan term for the Basic Home Loan is 30 years.

There are a number of repayment options that come standard with the Basic Home Loan. For instance, you can choose your repayment frequency to suit your payday and not the banks. Options include weekly, fortnightly and monthly repayments. There is also the option to pause repayments if you need, though for a 'family pause' you need to have the loan for a full 12 months and have an LVR of at least 90% to be eligible.

There isn't an offset account attached to the Basic Home Loan but you can make extra payments and there is a redraw facility available if you decide you need the money later on. 

Who it's good for:

Value seekers. Why pay a higher interest rate when the Basic Home Loan has all the essential features you want in a home loan?

Any catches?

Keep in mind, no offset account is available with this mortgage. 

How are Bank Australia home loans rated by the Mozo community?

Product Type Overall Rating Price Features Service Convenience Trust
7.7

Based on 35
Bank Australia home loans reviews

7.9 6.9 7.5 7.0 7.5

Read Bank Australia home loan reviews by the Mozo community

Latest reviews of Bank Australia Basic Home Loan

Bank Australia

Bank Australia Basic Home Loan Special (LVR<70%, Owner Occupier) home loan review

Overall rating   10 / 10

Great customer service

Easy banking.

Easy banking.

    Price   8 / 10

    Features   5 / 10

    Customer service   7 / 10

    Convenience   9 / 10

    Trust   9 / 10

Less

Tiffany (VIC), reviewed almost 2 years ago

Bank Australia

Bank Australia Basic Home Loan Special (LVR<70%, Owner Occupier) home loan review

Overall rating   1 / 10

Worst bank of Australia

This bank overpaid (double ) to my builder. 90 k instead of 45k. Builder declared bankruptcy without completing my house. The best thing is they covered their money.....customer is in trouble now.

This bank overpaid (double ) to my builder. 90 k instead of 45k. Builder declared bankruptcy without completing my house. The best thing is they covered their money.....customer is in trouble now.

    Price   3 / 10

    Features   1 / 10

    Customer service   0 / 10

    Convenience   0 / 10

    Trust   0 / 10

Less

Varinder (ACT), reviewed about 2 years ago

Bank Australia

Bank Australia Basic Home Loan Special (LVR<70%, Owner Occupier) home loan review

Overall rating   10 / 10

Great customer service

They were extremely helpful when I applied for this loan. They were helpful and were patient with all my questions.

They were extremely helpful when I applied for this loan. They were helpful and were patient with all my questions.

    Price   10 / 10

    Features   8 / 10

    Customer service   6 / 10

    Convenience   10 / 10

    Trust   10 / 10

Less

Carole (VIC), reviewed about 2 years ago

Bank Australia

Bank Australia Basic Home Loan Special (LVR<70%, Owner Occupier) home loan review

Overall rating   7 / 10

Competitive home loan rates and friendly service

Very competitive home loan rates. MECU interests are its members not shareholders. All profits are invested back into the bank to provide fairer fees and banking for members.

Very competitive home loan rates. MECU interests are its members not shareholders. All profits are invested back into the bank to provide fairer fees and banking for members.

    Price   7 / 10

    Features   7 / 10

    Customer service   7 / 10

    Convenience   7 / 10

    Trust   7 / 10

Less

Belinda (VIC), reviewed about 2 years ago

Bank Australia

Bank Australia Basic Home Loan Special (LVR<70%, Owner Occupier) home loan review

Overall rating   10 / 10

Fantastic customer service and very competitive.

I love this bank. The customer service is outstanding. It is never a problem to contact them and get help when you need it. The staff are so helpful and knowledgeable of their product. The rates are fantastic and if you pay extra it means your...

I love this bank. The customer service is outstanding. It is never a problem to contact them and get help when you need it. The staff are so helpful and knowledgeable of their product. The rates are fantastic and if you pay extra it means your loan is covered and gets paid off that little bit quicker. I would only say that there are pros to having this bank and would recommend it to all my family and friends.

    Price   10 / 10

    Features   10 / 10

    Customer service   10 / 10

    Convenience   10 / 10

    Trust   10 / 10

Less

Julie (VIC), reviewed about 2 years ago

Mozo may receive a payment from financial providers listed on the site. Customer reviews are in no way affected by any commercial relationships Mozo has with providers. Reviewers may receive a voucher from Mozo in exchange for their review. Vouchers are given to all reviewers who meet our review guidelines regardless of the sentiment of their reviews.

Currently showing

Rates

  • 3.74% p.a.

  • n/a

  • 0 Months

  • none

  • 3.75% p.a.

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

Fees

  • $0.00

  • $0.00

  • $0.00

  • $0.00

  • none

  • $0.00

  • $250.00

Other financial bits

  • $10,000

  • none

  • none

  • 70.00%

Features

  • Owner Occupier

  • Principal & Interest

  • Weekly, Fortnightly, Monthly

  • yes - free

  • yes

  • yes - free

  • $0.00

  • yes

  • no

  • none

  • none

Rates

  • 3.86% p.a.

  • n/a

  • 0 Months

  • none

  • 3.87% p.a.

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

Fees

  • $0.00

  • $0.00

  • $0.00

  • $0.00

  • none

  • $0.00

  • $250.00

Other financial bits

  • $10,000

  • none

  • none

  • 80.00%

Features

  • Owner Occupier

  • Principal & Interest

  • Weekly, Fortnightly, Monthly

  • yes - free

  • yes

  • yes - free

  • $0.00

  • yes

  • no

  • none

  • none

Rates

  • 4.87% p.a.

  • n/a

  • 0 Months

  • none

  • 4.87% p.a.

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

Fees

  • $0.00

  • $0.00

  • $0.00

  • $0.00

  • none

  • $0.00

  • $250.00

Other financial bits

  • $10,000

  • none

  • none

  • 80.00%

Features

  • Investor

  • Principal & Interest

  • Weekly, Fortnightly, Monthly

  • yes - free

  • yes

  • yes - free

  • $0.00

  • yes

  • no

  • none

  • none

Rates

  • 5.07% p.a.

  • n/a

  • 0 Months

  • none

  • 5.07% p.a.

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

  • n/a

Fees

  • $0.00

  • $0.00

  • $0.00

  • $0.00

  • none

  • $0.00

  • $250.00

Other financial bits

  • $10,000

  • none

  • none

  • 80.00%

Features

  • Investor

  • Interest Only

  • Weekly, Fortnightly, Monthly

  • yes - free

  • yes

  • yes - free

  • $0.00

  • yes

  • no

  • none

  • none

About Bank Australia

Bank Australia is a customer owned bank. Formerly bankmecu, Bank Australia has over 130,000 customers which act as shareholders of the bank. It offers a full range of products including home loans, savings, credit cards and loan products, and because its shareholders are its customers, they benefit from lower rate and fees. Bank Australia also invests up to 4% of its profits in various community projects every year.

*The Comparison Rate combines the lender's interest rate, fees and charges into a single rate to show the true cost of a home loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for $150,000 over 25 years, and applies only to this example. Different amounts and terms will result in different comparison rates. Full comparison rate schedules are available from lenders. Costs such as redraw fees or early repayment fees, and savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan.

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