Refinancing is the process of replacing your current home loan by taking out a new loan, either with your existing lender or through a different lender.
Refinancing could save you if a rate on offer is lower than your existing home loan rate or if there’s a home loan product that suits your needs you may be able to use the equity in your home to borrow money on your new loan and use it renovate or for other expenses or investments.
At FSCU we make refinancing your home loan quick and simple. Our Home Loan specialists will be with you through the whole process to answer any questions or concerns you may have.
Why refinance?
Interest rates may be lower
When you refinance the balance of your loan at a lower rate, you can reduce your monthly repayments and the total cost of your loan or your loan-to-value ratio (LVR) has decreased, you might find a more competitive home loan.
Pay off your home loan faster
Changing from a 30-year loan to a 20-year loan will raise your monthly payment, but because interest is compounded, could save you thousands of dollars over the long term. If you can afford the higher monthly repayments, switching to a shorter loan term might work for you.
Extra funds for something else
If you have equity in your home, you can leverage it to pay for home improvements, pay off other debt or accomplish other goals.
Consolidation of debt
If you are experiencing financial difficulty a consolidation of debt may relieve the pressure. It is important to seek professional advice on how you can manage if you are experiencing financial hardship.
Home loan FAQ’s
Should I refinance my home loan?
If you’re keen to secure a better interest rate or enjoy more loan features, refinancing your home loan can be the solution. Refinancing is also an opportunity to get control of debt or tap into any home equity you’ve built up.
What is required to refinance?
To apply for a loan we need to know how much you need to borrow, your income details, what you own, any loans or credit you owe and a living expenses form will need to be completed. That way we can let you know if we can help with your refinance.
How do I know how much I can borrow?
In order to know how much you can borrow simply call us for an over the phone application. Or check out our Calculators for a quick overview.
How can I get pre-approval?
To get pre-approval simply speak to one of our Home Loan specialists. Give us a call or head into the branch for a free pre-approval.
What are the costs of refinancing
There are many upfront fees and charges to think about including establishment fees, legal fees, stamp duty and ongoing fees, which may apply. If your home loan is reasonably small, it may take some time before the savings of a lower interest rate actually make up for the cost of refinancing
Why refinance with us?
There are many reasons you may want to refinance your home loan but some of the benefits of refinancing with FSCU are a redraw facilities, home loan offset accounts and the opportunity to pay your loan off sooner with extra repayments.
Interest rates are current as at 30/11/2023. Interest rates are subject to change without notice.
* The comparison rate is calculated based on a secured loan amount of $150,000 over a loan term of 25 years. Warning: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.
^ The Firefighter Home Loan Package is available only to new qualifying loans for owner-occupied purposes and where the LVR is less than or equal to 60% at the time of loan origination. LVR means Loan to Value Ratio. We will calculate your LVR and determine your eligibility for this rate when we assess your loan. A higher LVR may result in a different interest rate. Minimum loan amount of $150,000 applies.
The Firefighter Home Loan Package has an annual fee of $300.
Credit eligibility criteria, terms and conditions, fees and charges apply. These may change or we may introduce new features or fees and charges in the future. Full details are on our website or on request. Fire Service Credit Union Ltd, 22 Chancery Lane Adelaide SA 5000 08 8227 2222 [email protected] visit www.fscu.com.au to find out more.
Fire Service Credit Union Ltd ABN 17 087 651 152 AFSL and Australian Credit Licence 237515