Asking the bank for a discounted variable

[natedog]

Hi All,
our fixed rate is about to reset in a couple weeks to the standard variable on 1 of our mortgages, with 1 of the big 4 banks.

We are happy to leave it as variable but what is the biggest discount with same lender that i can realistically expect off the standard variable.

we have just over 600k mortgages with this lender.

i am guessing 0.7% is the norm....anyone asked for and gotten more, and how did you do it?

Any feedback would be great

Cheers,

 

[yo yo ma]

Are you on a professional/ wealth package? Which lender are you with?
We are on 0.8 off with CBA but others have got more off.
Steve

 

[Qlds007]

0.9 - 1% is not out of the question if the deal is big enough.

 

[yo yo ma]

...if the deal is big enough.

Would just over $1M usually count as being "big enough" or are you talking multi-millions?
Steve

 

[Qlds007]

No a Million should get you 0.9%

 

[GreenTreeFrog]

I rang around a few other banks for some info on this over the weekend. CBA indicated they would offer up to .85 and we have just over $1 million borrowed.

I have applied to my bank, ANZ, for a further discount on the Breakfree Package discount.

I hope they come through - I don't actually want to change banks.

 

[GreenTreeFrog]

The bank got back to me today...

0.85% discount on the variable loans and 0.8% discount on the Equity Loan.

I am happy with that for now.

 

[Spectre]

Just bear in mind that the variable rate at anz is (currently) 0.05% higher than cba is currently. That being said the variable rates of various lenders arent necessarily the 'same' any more

So with your actual comparisons (per se)
If ANZs Std variable is 9.02, your .85 off is 8.17
If CBAs Std Variable is 8.97, your.85 off is 8.12

(Leaving the actual pros and cons out of each banks product and service)
When you work out the interest cost on .05% and if you're on a variable I'd figure there wont be a lot of reason to swap.