Rates and fees verified as correct at 01 December, 2021. Other information correct at the time of writing. Advertiser disclosure.
Like any fixed rate, you’ll always know where you stand with your monthly budget but with Bank of Melbourne’s fixed home loan if you end up with extra funds you can make fee free extra repayments up to $30,000 over the fixed period. There is also a repayment holiday feature which you can use if you need to have a break from the workforce such as maternity leave. The fixed rate loan is available for periods between 1 and 5 years with a choice of principal and interest repayments or interest only repayments. There is a partial interest offset facility where you can rack up serious savings over the term of the loan, but keep in mind these great features aren’t free, as you’ll need to pay a monthly service fee.
| Product | Fixed 3 year rate | Comparison Rate | Service fee | Upfront fee | Monthly repayments |
|---|---|---|---|---|---|
| 3.99% p.a. | 4.95% p.a. | $8.00 monthly | $600 | ||
| 3.94% p.a. | 4.91% p.a. | $8.00 monthly | $600 | ||
| 2.89% p.a. | 4.24% p.a. | $8.00 monthly | $600 | ||
| 2.94% p.a. | 4.29% p.a. | $8.00 monthly | $600 | ||
| 2.84% p.a. | 4.19% p.a. | $8.00 monthly | $600 | ||
| 3.29% p.a. | 4.97% p.a. | $8.00 monthly | $600 | ||
| 3.34% p.a. | 5.02% p.a. | $8.00 monthly | $600 | ||
| 3.24% p.a. | 4.92% p.a. | $8.00 monthly | $600 | ||
| 3.09% p.a. | 4.71% p.a. | $8.00 monthly | $600 | ||
| 3.14% p.a. | 4.76% p.a. | $8.00 monthly | $600 | ||
| 3.04% p.a. | 4.66% p.a. | $8.00 monthly | $600 |
If you’re busy scouring the market for a flexible home loan, Bank of Melbourne has two variable home loans on offer: a no frills, basic variable rate on loans starting from $30,000 and a standard variable rate that is available for loans from as low as $10,000. For first home buyers and those with smaller deposits, Bank of Melbourne’s variable home loans allow you to borrow up to 95% LVR, although beware you may have to account for an extra cost called Lender Mortgage Insurance if your LVR is above 80%.
Both variable loan options from Bank of Melbourne are packed with flexible features that make paying of your loan a breeze including free extra repayments and the ability to set up automatic payments from your nominated Bank of Melbourne bank account - so you never miss a payment! A redraw facility is on hand but you’ll need the bank’s approval to use it, so be sure that you have enough funds to cover your weekly or monthly expenses before making any additional payments.
| Product | Rate | Comparison Rate | Service fee | Upfront fee | Monthly repayments |
|---|---|---|---|---|---|
| 3.19% p.a. | 3.22% p.a. | $0.00 | $500 | ||
| 2.24% p.a. | 2.27% p.a. | $0.00 | $500 | ||
| 3.14% p.a. | 3.17% p.a. | $0.00 | $500 | ||
| 3.09% p.a. | 3.12% p.a. | $0.00 | $500 | ||
| 2.19% p.a. | 2.19% p.a. | $0.00 | $0 | ||
| 2.24% p.a. | 2.24% p.a. | $0.00 | $0 | ||
| 2.14% p.a. | 2.14% p.a. | $0.00 | $0 | ||
| 5.08% p.a. | 5.21% p.a. | $8.00 monthly | $600 | ||
| 5.03% p.a. | 5.16% p.a. | $8.00 monthly | $600 | ||
| 4.49% p.a. | 4.62% p.a. | $8.00 monthly | $600 | ||
| 4.54% p.a. | 4.67% p.a. | $8.00 monthly | $600 | ||
| 4.44% p.a. | 4.57% p.a. | $8.00 monthly | $600 | ||
| 2.74% p.a. | 2.77% p.a. | $0.00 | $500 | ||
| 2.54% p.a. | 2.57% p.a. | $0.00 | $500 | ||
| 2.69% p.a. | 2.72% p.a. | $0.00 | $500 | ||
| 2.64% p.a. | 2.67% p.a. | $0.00 | $500 | ||
| 2.49% p.a. | 2.49% p.a. | $0.00 | $0 | ||
| 2.54% p.a. | 2.54% p.a. | $0.00 | $0 | ||
| 2.44% p.a. | 2.44% p.a. | $0.00 | $0 | ||
| 5.36% p.a. | 5.49% p.a. | $8.00 monthly | $600 | ||
| 5.31% p.a. | 5.44% p.a. | $8.00 monthly | $600 | ||
| 5.07% p.a. | 5.20% p.a. | $8.00 monthly | $600 | ||
| 5.12% p.a. | 5.25% p.a. | $8.00 monthly | $600 | ||
| 5.02% p.a. | 5.15% p.a. | $8.00 monthly | $600 |
The Advantage package from the Bank of Melbourne is a great choice if you’re looking to borrow at least $150,000 and want the convenience of bundling all your financial products together. In return for an annual fee, you’ll receive a discounted interest rate and fees waived on your Bank of Melbourne home loan, credit card and transaction account (i.e. establishment fee, annual card fee, transaction keeping account fee). Plus you'll also be able to save up to 10% on your home and contents insurance premium.
| Product | Fixed 3 year rate | Comparison Rate | Service fee | Upfront fee | Monthly repayments |
|---|---|---|---|---|---|
| 3.84% p.a. | 3.50% p.a. | $395.00 yearly | $0 | ||
| 3.79% p.a. | 3.45% p.a. | $395.00 yearly | $0 | ||
| 2.74% p.a. | 3.50% p.a. | $395.00 yearly | $0 | ||
| 2.79% p.a. | 3.55% p.a. | $395.00 yearly | $0 | ||
| 2.69% p.a. | 3.44% p.a. | $395.00 yearly | $0 | ||
| 3.14% p.a. | 4.21% p.a. | $395.00 yearly | $0 | ||
| 3.19% p.a. | 4.26% p.a. | $395.00 yearly | $0 | ||
| 3.09% p.a. | 4.10% p.a. | $395.00 yearly | $0 | ||
| 2.94% p.a. | 3.89% p.a. | $395.00 yearly | $0 | ||
| 2.99% p.a. | 3.94% p.a. | $395.00 yearly | $0 | ||
| 2.89% p.a. | 3.91% p.a. | $395.00 yearly | $0 |
For loans from $100,000 with added flexibility, take a look at the variable rate Advantage package from the Bank of Melbourne. It’s essentially the same as the fixed rate alternative, but you’ll have unlimited free extra repayments and the full use of an offset account, to help you pay off your home loan faster and save on interest.
| Product | Rate | Comparison Rate | Service fee | Upfront fee | Monthly repayments |
|---|---|---|---|---|---|
| 3.78% p.a. | 4.18% p.a. | $395.00 yearly | $0 | ||
| 3.73% p.a. | 4.13% p.a. | $395.00 yearly | $0 | ||
| 3.19% p.a. | 3.60% p.a. | $395.00 yearly | $0 | ||
| 3.24% p.a. | 3.65% p.a. | $395.00 yearly | $0 | ||
| 3.14% p.a. | 3.55% p.a. | $395.00 yearly | $0 | ||
| 4.06% p.a. | 4.45% p.a. | $395.00 yearly | $0 | ||
| 4.01% p.a. | 4.40% p.a. | $395.00 yearly | $0 | ||
| 3.77% p.a. | 4.17% p.a. | $395.00 yearly | $0 | ||
| 3.82% p.a. | 4.22% p.a. | $395.00 yearly | $0 | ||
| 3.72% p.a. | 4.12% p.a. | $395.00 yearly | $0 |
Bank of Melbourne’s Portfolio line of credit home loan allows you to borrow up to 90% of your property's value which can be put towards other investments such as shares, property or even a new car. You have the choice to pay either a monthly or annual fee, and like many other line of credit loans, there are no set repayment terms which means you can repay the loan whenever it suits you. You will enjoy 24/7 access to your home loan through mobile and online banking and a linked Visa debit card that you can use to shop wherever Visa is accepted.
| Product | Rate | Comparison Rate | Service fee | Upfront fee |
|---|---|---|---|---|
| 5.98% p.a. | n/a | $200.00 yearly | $700 |
No pressure if you’ve been off work for a while, you can reduce or hold your payments when you have fixed or variable loan with Bank of Melbourne (fees apply). Keep in mind this feature is subject to approval.
Bank of Melbourne’s Family Pledge option allows family members to use their own home’s equity to provide security for a portion of your loan amount. This way you may be able to avoid Lender’s Mortgage Insurance which is required of loans with an LVR that exceeds 80%.
You can set up automatic repayments from your nominated Bank of Melbourne bank account and never miss a payment again.
If you want to safeguard yourself against interest rate rises during settlement, Bank of Melbourne’s fixed home loan offers a rate lock feature that allows you to secure their advertised interest rate (up to 3 months). There is a fee for this service.
With Bank of Melbourne’s standard variable rate, you’ll be able to save bundles on interest through an full interest offset facility which offsets the funds in your linked transaction account against the balance of your loan. The fixed rate loan offers a partial interest offset which allows you to access a reduced interest rate for a portion of your home loan.
Non-Westpac Group home loan customers switching to Bank of Melbourne may be eligible for cashback up to $4,000. You'll receive $2,000 cashback for each property you refinance (given that the loan amount is at least $250,000), plus a bonus one-off $2,000 if your loan has a LVR below 80%.
Mozo users have rated Bank of Melbourne home loans on price, features, convenience, trust and customer service so you can see what real Aussies have to say about their experiences.
184 Reviews
bank of Melbourne is a great bank for all your needs. I have changed almost all my banking over to them and would recommend them to anyone!
Read full reviewbank of Melbourne is a great bank for all your needs. I have changed almost all my banking over to them and would recommend them to anyone!
Use to love the bank, been trying to combine a small personal loan and home loan into one, they have cancelled meetings and then I had to chase up to get a rebook, they then did a credit check with some company that has screwed up (put another family members on my name wtf?!) and has done nothing to help the situation and even though it shouldn’t actually effect the situation they aren’t going through with anything. Think they are just dragging out any excuse to not settle loans that better off customers.
Read full reviewUse to love the bank, been trying to combine a small personal loan and home loan into one, they have cancelled meetings and then I had to chase up to get a rebook, they then did a credit check with some company that has screwed up (put another family members on my name wtf?!) and has done nothing to help the situation and even though it shouldn’t actually effect the situation they aren’t going through with anything. Think they are just dragging out any excuse to not settle loans that better off customers.
Terrible trying to get home loan switched over to them.
Read full reviewTerrible trying to get home loan switched over to them.
I have gone through a private broker to gain a home. Loan application. This process begun in Feb 2021 and it’s now May. I have jumped through every hoop, been asked to provide the same paperwork at least 3-4 times and still no definite answer. They are laziest, most Poorly trained cohort of staff and it’s clear that applications obviously just get passed around the credit teams without follow through. I’m so angry, I have put my buying process on hold for months and continue to until they get their arses into gear.
Read full reviewI have gone through a private broker to gain a home. Loan application. This process begun in Feb 2021 and it’s now May. I have jumped through every hoop, been asked to provide the same paperwork at least 3-4 times and still no definite answer. They are laziest, most Poorly trained cohort of staff and it’s clear that applications obviously just get passed around the credit teams without follow through. I’m so angry, I have put my buying process on hold for months and continue to until they get their arses into gear.
Terrible customer service. Have been waiting 5 months for my loan application to go through and when I call I am told its approved and will take a week and am being told this info every week for 5 months now. This has been ongoing since January and still no service and no answers. You call the branch and mortgage number and no one can tell me anything and they cannot locate me as a customer
Read full reviewTerrible customer service. Have been waiting 5 months for my loan application to go through and when I call I am told its approved and will take a week and am being told this info every week for 5 months now. This has been ongoing since January and still no service and no answers. You call the branch and mortgage number and no one can tell me anything and they cannot locate me as a customer
To apply for a Bank of Melbourne home loan, you’ll need the following details and documents: