^ Thanks for your reply.I am looking to buy a house as OO.From what I understand (I could be wrong here), the way redraw feature works is that it allows you to redraw the extra amount of repayment you made every month (the amount above your minimum monthly repayment). These extra repayments are used to reduce the interest portion of your loan…[Read more]

Thanks Scott.

That sounds really wonderful.

So if the offset really offsets the principal (method #2),can you actually see from your statement that the interest payable for a particular month is significantly lower ?