Lender

Lender Name

CBA-COLONIAL

Product Name

RATE SAVER HOME LOAN

Product Type

BASIC VARIABLE

Interest Rates

Comparison Rate Schedule

Latest Interest Rates

Compare Other Lenders

Offset

Not available

Redraw Facility

Yes - Minimum $500 by electronic request, or $2,000  from our branch.
$50 redraw fee.
Redraw is not available on Interest Only Rate Saver
Redraw available via Internet and Phone Banking and can be linked to ATM Card

Fees

Application Fee: $600 ($300 for second loan if there is an existing loan)

For new loans $600 for 2 loans then $300 for each subsequent loan.

Monthly Loan Service Fee:$8

A settlement fee of $100 will apply to all H/L Invest Loans/ Lines of Credit/ where the bank is required to physically attend a settlement and where a new mortgage security to be obtained (Fee displayed as Mortgage Preparation )

Arrangement fee, $20.00 will apply

Settlement Fee - Discharge:$300

Additional Security Fee:     $150 per security (excluding guarantees)

Progressive Drawing Fee:$50 per drawing

Switching Fee: Up to $600 (where switching is allowed)

LMI Arrangement Fee - The amount of LMI payable may vary according to individual loans and is based on the loan amount. Note a LMI

Other fees and charges are payable.

Security Substitution Fee - A security substitution fee of $300 applies where no additional funds are sought. Where additional funds are also sought the standard establishment fee for that product applies

If your customer substitutes new security for the loan, they must pay this fee plus any other applicable Bank fees and Government charge

Stamp Duty on the Mortgage

Calculated on the amount of the loan and payable to the State Government Stamp Duty authority

Security Guarantee Fee -$200 (per borrower) applies where a guarantor's) provides security to support the loan. The fee is debited to the loan account (Refer Special Notes Family Equity and Guarantors ’Support Policy)

Deferred Establishment Fee $700 applicable if loan is repaid out within 4 years from the first loan drawing

Target Market

Rate Saver is a 'no frills' low variable interest rate/limited features investment home loan for clients who do not require all the features and flexibility the Standard Variable Rate Investment Home Loan offers.

All investment Housing Related, including purchase of vacant land;

Land Loan: A residential property must be built immediately for rental.

Personal investment eg purchase of shares

Construction

Bridging Loans

Borrowers will have up to a maximum of 12 months to reduce the total debt to the agreed residual debt level.

Capacity to service interest only payments on the total debt during the bridging period is preferred but not essential (refer to BDM for further details),  capacity to repay the Residual Debt on a P & I basis at the appropriate interest rate over the proposed term after the existing property is sold. The maximum LVR for bridging purposes is 90% subject to LMI (LMI can be waived refer to BDM). Note Bridging Loans can be written at any of the Bank interest rate options restrictions apply to Fixed Rates Loans or One Year Guaranteed Interest Rate option may attract an Early Repayment Adjustment.

Repayment Type

Interest Only & Principal & Interest
3 year Special Rate Save Discount off the Basic Variable Rate reverts to BVR at end of 3 year Introductory period

Repayment Options

Weekly, fortnightly or monthly repayment options are available

Repayment Method

Repayments to be made via direct debit or direct credit from salary

Extra Repayments

Additional Repayments can be made without incurring an Early Repayment Adjustment (ERA)

Special Offers

Term

Minimum: No minimum
Maximum: 30 years (subject to expected retirement age of applicant)
The shortest practical term up to Maximum of 1 year. (If deposit on new property only financed, contracts on existing property must be exchanged and sale assured.)

Loan Size

Minimum: $10,000
Maximum: No Maximum

Mortgage Insurance

Note Maximum LVR with capitalized LMI premium 97%
Base LVR of 95% (capitalized LVR of 97%) All Other LMI Covered Loans including Home/Investment Home loans and Line of Credit) Aggregated credit facilities of $2.5million
Eligible borrowers must have 5% equ

Acceptable Income

PAYG/ Self Employed/Casual/Contractor/Got Income excluding New start) note Austudy not applicable

Product Change

Yes Switch Fee of $300

Statements

6 monthly statements, or on client request (fee applies)

Portability

Yes

Split Loan Facility

Yes available

Special Notes

Family Equity and Guarantors ’Support Policy

The Family Equity option has been introduced to help first home buyers and families to enter the property market. Under Family Equity, parental help (or help from immediate family) may be used for servicing and/or security support.

This may take the form of either:

1)Guarantors providing Security support only

2)Guarantors providing Servicing support only

3)Guarantors providing Security and Servicing support, or

4)Provision of funds greater than value of property to be purchased is available.

5)Second Mortgage where prior mortgage is to another bank is acceptable.