Hi all
I am seeking some advise.I currently have an investment loan on a 10 year fixed interest and another on a variable interest rate.
I am wanting to pay off the loans as soon as possible and with all the talk about the interest free loans that are avaiable, I could pay these off very quickly, but what penalties do I face for refinancing a fixed loan? [blush2]
Thanks in advance for your help
Martineshould be on the loan document you signed.
Sometimes it can be quite expensive.
Byronent
Adelaide SAContact your lender and ask.
It depends on the rate you fixed at as well. Noone can give an accurate idea except your lender.
Cheers,
Simon Macks
Interest Free Home Loan Agent
http://www.mortgagehunter.com.au
0425 228 985Fully Accredited With Derivex PTY LTD and IFHL PTY LTD
***Ask about our Interest Free Home Loan***
Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Hi Martine,
The break costs will vary depending on the term of the fixed period and the fixed rate,
The only way to get an exact figure is to call your credit provider and ask for a payout figure, keep in mind this figure will vary from one day to the next. I hope this helps.Regards
Steven
Mortgage Broker
Mobile Mortgage Market[email protected]
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820 500
VICTORIAPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
“Snap”
Regards
Steven
Mortgage Broker
Mobile Mortgage Market[email protected]
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820 500
VICTORIAPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
“Snap” ?????
When I grow up, I want to be a storm trooper!
A matching pair. One straight after the other.
“Snap!”
I am asking what was meant by “snap”.
When I grow up, I want to be a storm trooper!
I think ‘snap’ is a card game where you have to grab the cards when two pair are put down in a row while shouting ‘snap’. Steven was, maybe, referring to his post and Simon’s post as being two of the same put down in quick succession. Hence ‘spap’.
Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Click below to email meTerryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Thanks Terry, that is indeed what I was referring to. Cheers.
Regards
Steven
Mortgage Broker
Mobile Mortgage Market[email protected]
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820 500
VICTORIAPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Damn!!!
That one went over my head!
They were very similar posts…. can I get in late???
SNAP!
When I grow up, I want to be a storm trooper!
Simon,
Sell me some Derivex would you! I’ve got a mortgage with Gateway CU, std variable at 6.5% with no fees. I’ll check the contract for termination fees, but don’t think there is any.
Its only $180K and I’d have it payed out in under 3 years on principal payments so maybe Derivex doesn’t cut it for me.
But, hey, I’m hoping I’m wrong and you can score a commission.
PM me if you’d prefer…
Cheers,
Michael.I would be reducing your payments to spread it out over 20 years. Why pay off a loan with no interest in less than 5 years and have to pay a 1.95% early payment fee?
When I grow up, I want to be a storm trooper!
Thanks everyone for your advise, I have read my contract again and then contacted my lender,yes there is a penalty if I pay off the loan early, about $15000, but hey if interest free loans are the way to go and I am able to refinance what is $15000 when you are saving over $300000 on a 30 years loan.
Need to find out more about these interest free loans though, I am still confused as how this company can offer this deal. I will definately need to talk to Simon.
Martine[blush2]
“I am starting from scratch but hey ce la vie, mistakes are always costly but I can only get better at this”Thats a hell of a payout penalty!
Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Click below to email meTerryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
It is common for breaking in the first or second year of a 5 year term when the fixed rate is over 7% (also depends on loan size).
_____________________________________________
The poster formally known as The Mortgage Adviser
When I grow up, I want to be a Storm Trooper!
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