Bank Australia

Bank Australia

Founded: 1957

Lender Type: Credit Union

Owned by: Customer Owned

Australia’s largest credit union has humble beginnings, starting out in 1957 as the CSIRO Co-operative Credit Society Limited. The first year they had 40 members and granted 3 loans, which totalled $525 dollars. Today, Bank Australia provides borrowers with the customer-focussed mentality of a credit union, as well as the low rates that are often associated with this type of lender. Yet, it is still capable of offering a diverse selection of home loans as well as branch locations nationwide, much like a large bank. You’ll find unique benefits that cater to everyone from first-time home buyers to investors, like low deposit home loans and an ultra-low rate on their SMSF loan.

Key Benefits

Discounted interest rates available
Option to bundle financial products and enjoy discounts
High level of customer service

Drawbacks

High annual fees relative to other lenders
For investors, large deposits are required
No line of credit option for new customers

Home Loan Products

Compare Home Loans

Home Loans Description

Basic Home Loan

This loan offers the combination of a low rate along with basic flexibility features to let you control how you pay down your mortgage. You have the option to split your loan between fixed and variable rates and have the option to make flexible repayments. While the rate is very competitive, you will need a sizable deposit if you are buying or enough equity for refinancing. You can only borrow up to 80% of the loan to value ratio.

Premium Home Loan Package

Bank Australia’s Premium Home Loan Package has everything you’d want from a full-featured package – a free 100% offset account, your linked credit card with no annual fee, redraw, and you can make additional repayments when you want without having to pay a penalty. Also, when you borrow less than 80% of the loan to value ratio, you’re eligible for great interest rate discounts on both fixed and variable loans.

Bridging

Depending on the market when you put your existing home up for sale, you may nor may not be able to find a buyer for your current home before you decide on the new property you want to buy. With a Bridging Home Loan, you don’t have to worry about getting your current home sold and settled before you can move into your new one, taking a lot of the stress out of the home buying process. Bank Australia offers a 12-month term for their Bridging loan product. You’ll even have the freedom to start paying down your mortgage faster with extra repayments.

Line of Credit

To help you meet your financial goals, Bank Australia offers a competitive Line of Credit Home Loan to existing customers. Whether you want to invest in a new property, renovate, or even consolidate your other debts using your mortgage secured rate, it’s easy when you switch to a Line of Credit Mortgage. You can still reduce your loan faster with the freedom to make extra repayments without penalty.

Limited Recourse Loan for SMSFs

Take advantage of the relative taxation and interest savings available when you use your self-managed super fund to invest in a residential property. Bank Australia lets you borrow a portion of the funds you’ll need for your property purchase. You’ll have the option to split your loan between a fixed and variable rate and are welcome to make extra repayments. Be sure to talk to a qualified financial advisor to help you make the most of this rather complex financial transaction.

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