+ Flexible repayment options.
+ Package and specialised loans available.
+ The Family Pledge feature allows family members to use their own home’s equity to provide security for a portion of your loan amount so you can avoid Lender’s Mortgage Insurance (required of loans with an LVR that exceeds 80%).
x High standard variable rate.
x Branch access limited to SA and NT.
Serving one in four South Australians, BankSA has been part of the fabric of South Australia since March 11, 1848, when The Savings Bank of South Australia began its life as a small one-person outfit.
From humble beginnings, The Savings Bank of South Australia later merged with the former State Bank of South Australia (which was established in 1896). When the State Bank collapsed in 1991, it was acquired by Advance Bank. This was then bought by St.George in 1997. Following Westpac’s merger with St.George in 2008, BankSA became a division of Westpac Banking Corporation.
Offering lower interest rates for LVR+ above 60% up to 80%, and available to approved borrowers up to 95% LVR, this loan allows for unlimited additional repayments with no break costs. Additional features include optional redraw and offset facilities and the ability to split the loan.
Allowing you to lock in your rate for one to five years and know exactly how much your repayments will be, you can choose to pay weekly, fortnightly or monthly. This loan can be packaged with a credit card and transaction account to attract additional savings on fees and rates. Pay interest in advance for a discounted rate.
An ongoing line of credit providing access to funds up to 90 percent of the value of your secured property for investments, this fixed rate loan can be used in conjunction with the BankSA Advantage Package. Repayments can be made weekly, fortnightly or monthly.
The no frills loan with a lower variable interest rate allows you to make extra repayments at no extra cost and a redraw facility. It also features no monthly service fees and no establishment fee for eligible loans and the ability to pause or reduce repayments for a set period.
Save when you package a home loan, credit card and transaction account with discounted interest rates, and no administration, loan establishment, annual credit card or monthly transaction account-keeping fees.
Each BankSA product have specific eligibility criteria but some will apply to all products, including:
The documents you will be expected to provide are:
Once you submit your application, you will receive an immediate acknowledgement that it has been received, along with an estimated repayment amount and next steps to gaining full approval. A dedicated Home Loan expert will contact you, discuss your loan needs and progress your application.
The amount you can borrow will depend on your income, existing debts and other regular expenses.
The deposit you need depends on the type of loan you are taking. The BankSA generally requires a 20% deposit to borrow without mortgage insurance. With Lender’s Mortgage Insurance you only need a 5% deposit if you’ve been a BankSA customer for at least 6 months, or 10% if you are new to BankSA. Portfolio Loans require a deposit of 20% to avoid Lender’s Mortgage Insurance. With Lender’s Mortgage Insurance, you’ll need a deposit of 10%.
Refinancing is when you take out a new mortgage in order to pay off an existing loan. This often occurs due to a change in financial situation, or because you want to secure a better deal on your mortgage. This can be facilitated with the same lender, or involve switching to a new mortgage provider.
There is a range of benefits to refinancing your home loan. It can allow you to take advantage of a better home loan deal, unlock equity in your home, reduce the fees you pay, simplify your repayments (especially if you’re consolidating multiple debts) and even shorten the term of your mortgage therefore reducing your interest payments.
How long you need to wait before refinancing depends on your mortgage provider. Some allow you to do so immediately after closing, while others have a waiting period of six months or longer. It’s best to check with your lender to determine their specific requirements.
Some common costs of refinancing include application fees, valuation fees, registration fees and discharge of mortgage fees.
The first place to start with refinancing is to assess your current financial situation to ensure it’s the right choice for you. Then, you generally start by contacting your existing lender to see whether they can improve your current home loan deal. If they are unable to provide an alternative, you would then work with a broker to compare other home loans on the market. If you find a better option, you would apply for your new mortgage and exit your old one.
There are a few risks involved in refinancing your home. One of these is that if you apply for a fixed rate loan, sometimes this rate can actually fluctuate in the period between approval and settlement. This would mean you may not have actually locked in a better rate which is why it’s important to check you’re getting a home loan with a rate lock feature. Other risks involve getting locked into a longer mortgage term (therefore increasing your interest repayments) and being tricked by tempting introductory variable or honeymoon’ rates.
There’s no hard and fast rule as to how much refinancing can save you: this depends on your unique financial situation, as well as the difference between your old and new interest rate. However, data shows that when your interest rate drops by 2% or more, this could save you up to $20,000 over the course of your mortgage.