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2.19% for Home & 2.49% for Investment 3 Years Fixed with Full Offset @ Unibank, Health Professionals Bank, Teachers Mutual Bank


2.19% for Home & 2.49% for investment 3 years fixed with Full offset @ Unibank, Health Professionals bank, Teachers mutual bank + $500 VISA giftcard

Investment loan
- 2.49% for P&I repayment 3 years fixed (Comparison Rate 3.92%)
- 2.64% for Interest Only 3 years fixed rate (Comparison Rate 3.97%)
This fixed loan comes with Full offset account
Upfront $600 fee
No annual fees

Owner Occupier Home loan
- 2.19% for P&I repayment loans 3 years fixed (Comparison Rate 3.85%)
This fixed loan comes with Full offset account
Upfront $600 fee
No annual fees

Eligibility criteria:
* working in the emergency services, education, or health industry
* OR currently studying or have previously graduated from any Australian university

$500 VISA broker giftcard - our gift to you for any refinances of $500k or higher net of offset or redraw.

What is a comparison rate (CPR)?
Comparison rate can very often be misleading as it uses assumptions that are often irrelevant to an individuals circumstances. Typically it assumes a loan size of $150k over 25 year loans term which is irrelevant to majority of borrowers. It also assumes the borrower will remain with the same lender for the whole 25 years on a revert rate which is also unrealistic as most Australians refinance their home loans every 2 – 4 years. So often comparison rates can cause more confusion than help. However due to government regulations, banks and brokers MUST quote these CPR when quoting a home loan interest rate. As a general rule of thumb, it’s best to look at the actual interest rate & repayment (including fees) for the same loan amount over the same specified period when you compare loans. We can help in doing this accurately and systematically.

For further details about this deal or other 35 lenders we work with, please call or email us or phone book a phone call with me on the link below. Messages on Ozbargain may receive delayed response. Thank you.

John Kim
Mortgage Adviser
M : 0433 390 648
E : [email protected]
Google reviews : https://www.mortgagebetter.com.au/google-reviews/

RCA Finance Solutions (Trading as Mortgage Better) is an authorised credit representative (CRN 508268) of QED Credit Services PTY LTD (ACL 387856).

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closed Comments

  • I guess I need to be a teacher or health professional to qualify?

    • hi, please see eligibility criteria below:
      * working in the emergency services, education, or health industry
      * OR currently studying or have previously graduated from any Australian university

      • +10

        So anybody who has graduated University?

        How far back do you allow? What if you graduated in the 90s?

        • Also curious to know about having graduated.

        • With UniBank I was simply asked over the phone if I had any university degree. Didn’t have to supply any documents although I imagine the bank can verify if they need. Plus fraud is not a good thing for a borrower to do.
          I first graduated in 1999, and have picked up a couple of graduate diplomas since then.
          I settled the loan a couple of weeks ago on a fixed rate investor loan at 2.34% pa with offset. I missed the lower fixed investor rate (2.19%?) advertised in June.
          The processing time is a bit slow as they are busy ATM.

      • Question, how far into the industries do you have to be?

        I work onsite everyday (and have for more than 5 years) at a Hospital with the Hospital's main outsourcing company.

        • There are no time limits for the criteria

          • @John-Mortgage Better: Yes but does it include people that work at a Hospital site but not actually be employed by the Hospital?

      • Are direct family members eligible to use Teachers Mutual for a home loan?

      • and friends and family likely too.

  • 2.19% with full offset? Am I missing something or is that an incredible offering? So it's basically very similar to a variable loan since it has the offset. Even if variable loans go below 2.19% I don't see it being much lower than that rate.

    • +1

      That's correct. This product is quite unique in the market. Its a fixed rate product with a full offset account. Please contact me directly for further info if interested.

      • Not an entirely true John. It's just the Big 4 have every one 'well trained' to believe banks don't do offset fixed loans. I have only had offset fixed loans for as long as I can remember, and refinance between them regularly.
        TMB, Com First, Easy Street….

        Just to add, no issues with TMB now they have cleaned up their product (used to be account fees). Nothing wrong with the others either, except that ole "anti loyalty" chestnut where new customer get a better rate. So you just leave…

        Now John may not enjoy this, but if you go through a broker, you have zero chance of re negotiating a better rate in the future (as the broker is getting say 0.2 retainer and they have no wiggle room). If you set up the loan yourself, then you have that 0.2 (no guarantee, actually unlikely, but you have a small chance vs no chance) . BUT, this is where the cashback from the brokers come in, and you need to decide if the 0.2 or the cash $$ is a better option. Same issue for the broker, as if you have your loan 100% paid off in the offset, then the broker gets 0.2 of nothing!

        • I don't know the accuracy of your information with regards to the 0.2 but there is nothing to prevent mortgage holder to refinance to another bank to enjoy a better rate if there is one so why care if there is zero chance or not. And often when you about to jump ship, the broker/bank would counteroffer with a sweeter deal anyway

          People are refinancing to take advantage of the lower rate as well as the cashback offer. And many people I know are fixing for 1 year with the intention to refinance again at the end of the term to hopefully qualify for another cashback offer + a lower rate. I feel this is a good bet given rate is probably coming down a little bit more in the next 12 to 18 months.

          • -1

            @theUnderdog: The 0.2 is exactly what a broker was getting paid when I was with TMB (back when I was a bit green with all this).

            Just ask, John, what is your commission on TMB loans? (It's full disclosure in the contracts).

            The second part of your comment, some people might not want to go through the process of a refinance or for example, if your property value is down 10% you won't get the loan amount you had before, or may need to pay $1000's now in LMI etc etc. People are used to refinancing when property is increasing, but its a different ball game if properties fall.

            So if you think you might want to stay and reneg your rate later then people need to know there is no chance of doing this via a simple call to the bank if you went through a broker.

            No one tells you this part.

            You can threatened to leave etc, it won't make a difference. The bank will simply say, "speak to your broker". If you set up the loan yourself, then it's you they have to work with and you are in the negotiation hot seat (and the bank know they don't have an extra 0.2 they need to pay a broker).

            • @tunzafun001: Very good point about price coming down. I did not think about that at all

            • +1

              @tunzafun001: Hi tunzafun. Thanks for your input. Some of the things you say are correct but it doesnt seem like you clearly understand what brokers do. Also its misleading to state brokers cannot get discount for clients as i have done this countless times. This post is purely to advertise the lender offer and their link and also offer my assistance should anyone require it so i wont go get into lengthy comments but more than happy to explain and clarify anything if you would like to give me a call on 0433390648. Thank you.

              • -1

                @John-Mortgage Better: Hi John, I didn't state a broker 'couldn't' get a discount, I'm just saying you can't just call up yourself and speak to the bank directly. If your loan is set up with a broker, they will always refer you back to the broker. Plus you need to realise a broker is getting paid within your loan rate. Therefore, the chance of requesting a better rate is reduced when you have 0.2 less to play with.

                As per above, what is your retainer on the 500k loan scenario? Pretty sure TMB are between 0.15 and 0.25?

                I think brokers are great for people who dont have time, nor understand mortgage and borrowing processes. I elluded to i have used a broker in the past (as he got me no app fees with this TMB product). However, later I found it was frustrating as it is another person in the middle you need to call to work out what's happening with your loan progress. Going direct is now my preference.

                Also, I have never had a broker contact me mid loan and say 'hey, I can renegotiate your loan for 0.3 reduction if you like'? Received plenty of calls for a loan check up, opportunity to refi elsewhere etc, but never a simple rate change without moving. Only ever achieved by going direct.

                My last tip for Ozbargainers would be to search "your bank + broker". For example "TMB+broker". This will often take you to the banks broker portal page and you can find good product summaries, tools and rates a broker would access. Try it…TMB have one.

                • @tunzafun001: This isn't my experience. I have a loan with a big 4 and went through a broker to get it. I have twice over the last two years contacted the bank directly and negotiated to have my rate reduce. They never referred me back to my broker and both times gave me a discount.

                  • @Pingu: Interesting.. Possibly correlates with the rate that you had at the time of calling up. Ie. It was for example >0.2 of the new business rate.

      • Having fully offset accounts on fixed rate loans is great. When the feature is not available, mortgage holders can split the loan then keep the cash in the offset account against the variable portion. I used to do that trick when I had my loan with CBA

    • -3

      After fix ends. Interest rate will be much higher. Bad deal

      • +8


        • +1

          Is it that easy to just refinance?

          It's an option for us at the moment, Have been thinking about it, but also we might want to just get rid of the house within a few years so not sure if worth refinancing then having to exit the loan.

          Currently with CBA on 3.16% variable with offset and they offered a 0.03% discount when I called.

          Also with refinancing, do you finance the whole loan amount when you take out your redraw?

          Loan amount 500k <<< refinance this amount?
          Available redraw 80k <<< save this for offset account?

          Loan with redraw 420k owing.

          • @Pandaboss:

            Loan with redraw 420k owing.


          • +1

            @Pandaboss: No offense but anything with a 3 in front should be disregarded. Rates are at historical lows and aren’t budging, you could definitely get a 2 with another bank or lender.

            • @LittleTicket: None taken, just tossing up weather to sign up to a new loan or not (refinance)

              As we are also deciding weather to hold on to or sell the house as we bought at peak and feel the loss in the current market.

    • +3

      Community first Credit Union are offering 1.99% variable/fixed with offset for 2years…..

      • But that comes with $395 annual fee.

        Still, if your loan is $200K+, you're saving more than the cost of the annual fee. It's a pity Community First only have offices in Sydney.

  • This is such a good rate, I hope I will get this rate when I decide to buy a property next year

    • Feel free to get in touch if you would like to discuss your loan options when you are ready to purchase your property. 0433930648.
      We deal with 35 lenders and can usually sources top deals in the market.

  • +7

    I found these guys slow and more conservative than the banks when it came to how much they were willing to lend. YMMV.

    • At the moment due to such a great deal they are offering their turn around time have blown out. however if you are not purchasing a property and don't have a settlement deadline it shouldn't be a huge issue.
      In terms of borrowing capacity, every lenders have their niche. Relative borrowing capacity will vary lender to lender for different people.

      • +12

        I have tried to raise this same complaint before with no luck. YMMV

    • -1

      I had a similar experience. Only wanted a loan at 35% LVR. Denied because my wife was on mat leave and ubank assessed us as having negative income. Wouldn’t listen to the concept of maternity leave being temporary after the birth of a child.

      • +6

        Lending is based on your current situation. Who knows what can happen in the future. Besides if you don’t meet their criteria, plenty others will. No need for them to take more risk.

        • Yes and no, with UBank.

          I had given them projected living expenses once my wife returned to work. I.e daycare fees etc. They were happy to use these projected costs, but not my wife’s income in determining my ability to pay the loan.

          • +3

            @ChickenTalon: Your experience was with UBank, a completely different lender?

            • @thestig: Lol. Missed that. I stand corrected.

              My experience was not with unibank

          • +2

            @ChickenTalon: I had a similar experience with Westpac recently where they included my partners personal expenses in with my finance application because it was deemed "household expenses", However they refused to include her income as "household income" because her name wasn't on the title of the property. They basically told me that she could leave at any point in time and this income would disappear… which is a fair point. But if she was to leave then so would her expenses and they have no issues including them?

            Seems a bit one sided to me.

      • +5

        Commbank was the same with us:

        In Perth:
        2014 - $40k deposit was willing to lend us $1.5 M (we laughed and said "you can't be serious")
        2015 - $80k deposit was willing to lend us $1.3 M
        2016 - $150k deposit was willing to lend us $1.2 M
        2017 - $250k deposit rejected for a $550k loan because wife was on mat leave.

        Banks make no sense. Maternity leave seems to be a deal breaker for a lot of banks.

        • +1

          That's interesting to see that.

          We got in around 2016, 5k deposit and approved for 500k. :-0!!

          • +3

            @Pandaboss: Thanks for the history lesson. I am in exactly the same boat. I hate that I am always in the next wave and always miss out on the easy money. As the boomers move on the criteria to own property and make wealth changes usually in a negative way. Can't claim travel, can't claim interest on land, cant claim depreciation on second hand properties etc etc. All this was available to the boomers BS.

            Only 5 years ago I could borrow as much as I wanted. Had kids and now basically I can't even refinance my loans, let alone get a new one.
            Luckily super doesn't count kids as it is a separate entity and my wife is going full time again after 6 years of part time.
            Buy within the next 12 months people. Vacancy rates are falling currently in a pandemic! Stock is drying up in Melbourne and Brisbane, it is going to be crazy times in 12 - 36 months once immigration comes back.

        • The world changed…

        • I was in a similar situation. Wife used to work parttime earning very little money - with no kids all Big4 gave us between $800 to $900K with 10 pc deposit. When we had our first child, she was at home for 12 months. Reduced to $250K same deposit.

          However, I kinda understand where they are coming from. With no kids, it is a family of 2 on 2 incomes. With 1 kid, it is a family of 3 on 1 income so it is a big hit to borrowing power.

        • +2

          Maternity leave seems to be a deal breaker for a lot of banks.

          I think a lot of it has to do with over half of mothers not returning to work after maternity leave. It's another level of risk… you can say all you want about it but with lots of potential between now and then, it could be worthless

          https://www.abs.gov.au/ausstats/[email protected]/mf/4913.0#:~:text=An%20estimated%20246%2C700%20(42%25),from%2021%25%20in%202011).

  • Hi what's the minimum loan amount?

  • +1

    I know you're just quoting the bank's own rates, and I'm aware of the drawbacks of CPR, but I am still curious why there is such a large difference between the interest rate and the CPR if there are no ongoing fees? Is it the fee for fixing the loan?

    • +3

      I'm guessing the main cause is the rate after the 3 year period ends.

      • Ah fair enough then..not a big deal in that case since most will refinance by then anyway

  • +7

    $600 loan establishment fee pwoah. That’s a bit of cash

    • +8

      Completely unacceptable charge.

      • +7

        The major banks charge $395/year on going for loans with an offset. That's $800 in 2 years time.

        • -25

          Complete rubbish. Your damaging your reputation very quickly.

          • +4

            @DrRalph: My bank charges annual mortgage fees of around $350. So some truth in he OPs claim.

            • +3

              @Ok computer: CBA charges $395 for having the option of offset accounts (Wealth Pacakge)

    • +1

      Yes, I am guessing the comparison rate takes that into account. I would like more transparency regarding unstated costs of this loan.

  • Why such a huge difference between CPR and the offering? Besides stating why you think it's wrong, maybe give some more details as to why it's so high?

    • +3

      Read the blurb on how CPR is calculated. It explains most of the difference.

    • -2

      I agree. CPR seems quite high in comparison to the offered rate.

    • +2

      Why are you worried about the CPR for a fixed rate loan when the OP has explained how it works?!? It's clearly irrelevant. You're not going to fix for 3 years and then sit the loan at the standard variable rate with no discount for 22 years.

      • -1

        Im worried, because there must be fees which are a lot higher than most other banks? So, i f i choose this loan il have to change in 3 years time again? And there are fees each time you refinance…

        • The CPR is still irrelevant for this purpose. You need to look at the interest rates and all the fees and do your own calc. For example with my bank I have a fixed rate of 2.29% which had a comparison rate of about 4.5%. The CPR assumes at the end of the period you go back to their standard variable rate which was around the 4.6% mark, however most have some kind of package, which for me gives a 1.9% discount so my revert variable rate is actually 2.7%. The only fee is a few hundred per year for the package. As you can see the 4.5% CPR is completely irrelevant.

    • +1

      From their fees and charges PDF:
      Fixed rate lock fee
      Payable if you choose to lock in an interest rate on your fixed rate loan. The interest rate is locked in for a period of up to 90 days from the date of application. The fee is applicable regardless of whether the interest rate at the
      time of settlement has increased OR decreased since date of application.

      0.15% of the
      total amount

  • +1

    can you do refinance? hows the offset works in fixed rate?

    • yes we can. it would work exactly the same way as a variable rate loan.

  • refinance?

  • You can get 2.24% at 3 years fixed at the majors if you already have an owner occupier loan. Just ask for it.

    • +3

      but without full offset

      • -1

        So split your loan to take advantage of your existing offset.

    • CommBank as well ?

  • How easy it is to access cash in offset? Free atm withdrawal?

    • Yes, works as an everyday account, free atm with all major banks.

  • -1

    Hey op, do you offer any other fixed home loans with full offset for us plebs that don't meet conditions?
    Anyone know of any?

    • Yes got a few. Not many but some options available please contact me and happy to go through them with you.

  • What's the Max LVR for a 500k loan?

  • +2

    I've been with Unibank Fixed for the last 2 years (Was originally at 3.75%) now with the 2.19%. A few points:

    1. Yes the fixed rate expires after a year and it defaults back to ~4% unless you send them back the form wanting to refix. Seemed pretty easy and wasn't particularly taxing experience. No fees were attached to refixing.
    2. The original fee seemed excessive at the time, but I liked TMBL's leverage and trust it more than the big 4. So… personal choice.
    3. If you are building, they apply an interest only loan which is insanely high 4% + then after the build, roll it back into the 2.19%. So just a warning.
    4. They do seem to have stricter lending requirements 20% was a must with no extra debt.
    5. Their app could be better, but hey, I don't need to do everyday banking with them.
    • +1

      Do you have to dig that form up or do they send you one after the fixed term ends?

      Refixing would be like refinancing correct?

      All the fees stayed the same? No start-up fee for refix?

      Just working out the conditions if we got this loan and decided to keep with them after term ends.

      • +3

        They sent two emails with the form attached and a phone call to remind me to send through the form. They were pretty good about the whole thing. I suspect it comes down to who is your loan manager.

        Yes. Refinancing— No fees attached, just the initial big hit and no ongoing fees.

        • can you refix later if you forget?
          also the rates above say 2.49% fixed for 3 years? or do i need to fix it each year?

          • +1

            @funnysht: I had the choice of fixing for 1, 2 or 3 years. I chose 1, because I can't see the rates going up. If I think rates have a chance at going up, i will try and lock it in for longer next cycle. But who honestly thinks that will happen?

            So in my situation, I fix every year, kicking the can down the road so to speak.

      • -1

        If you aren't banking with them can your offset account be with another bank?

    • Yes the fixed rate expires after a year and it defaults back to ~4%

      Wait so how many years were you fixed for? If it was year to year this shouldn't be an issue.

  • +2

    Nothing special about this deal.Broker as well…

    I have been getting Bank of Melbourne/STG matching this pricing plus $3000 cashback for first property and $2000 per each security being refinanced on top.

    Bank First is also doing 1.99% on 3 yr fixed OO.

    • What was your LVR and how many other assets do you have? Banks take this into consideration right?

      Was that a fixed term or variable rate with Bank of Melb/STG and were you a new or existing customer?

    • +1

      Do you have a full offset on your fixed loan with BOM? Does Bank First? To me, this sets this deal apart.

    • +2

      So you can get BOM to match 1.99% for 3 yrs fixed with $3000 cashback for Investment Loan? If so, how can I get in contact with you to organise?

      • seems too good to be true honestly..

      • The Bank First offer is also OO (not investment. Where did you read investment? BOM will match this deal and offer $3,000. I have done it at least 4 times this month for my clients). It also has a 100% offset just like this deal. Just like Adelaide Bank and a lot of other lenders funded by Adelaide Bank. They all offer 100% offset with fixed rates. Bank First also offers 85% LVR no LMI. More info on their Website.

        The Bank of Melbourne offer needs to be split with a variable- 2.62-2.7% depending on loan amount with linked 100% offset and the fixed split has a partial offset. Otherwise, you are limited to 20k of additional repayments in the two year period. However, the $3,000 cashback plus $2,000 per each security is a huge upfront saving, especially when considered over a 5-year time frame.

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