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If you want
the flexibility to pay extra into your home loan, while having
the access to your money in the future, you should choose
a loan that offers that flexibility with no penalties. The
good news is that most lenders provide this option. These
days the banks have had to adapt to keep up with their competitors.
The loan products that best provide this flexibility are :
- Standard Variable
Loan with a free redraw
- Standard Variable
Loan with 100% Offset
- A True Line of Credit
or an Equity Loan
Paying extra
into your home loan will reduce the amount of interest paid
and also the term of the loan. It is important to keep in
mind that most lenders have restrictions on how much extra
can be paid into a loan during a fixed term.
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