Changing Banks - will they give incentives?

[Tom Alaka]

Hi everyone

Ive got 3 IPs with 3 different banks, and I am paying around 7.59% variable rates on a few IO loans and LOCs in the main. My banks are ABL, BOQ and NAB (NAB loan much cheaper). No cross collateralisation and I will keep it this way.

With another interest rise around the corner, ive been thinking of shopping around for better deals. (Its not my structure im concerned with, mainly interest rates).

Has anyone had any experience with banks giving some sort of incentive to get business ie the bank will agree to pay some portion of any discharge fee, mortgage duty etc etc.

I have in particular been approached by the NAB and AMP in relation to their professional packages. I havent discussed in any detail yet, and thought that i would ask for any tips from forum members on past experiences with this sort of thing first.

Will banks come to the party?

 

[alexlee]

Ive got 3 IPs with 3 different banks, and I am paying around 7.59% variable rates on a few IO loans and LOCs in the main. My banks are ABL, BOQ and NAB (NAB loan much cheaper). No cross collateralisation and I will keep it this way.

With another interest rise around the corner, ive been thinking of shopping around for better deals. (Its not my structure im concerned with, mainly interest rates).

Has anyone had any experience with banks giving some sort of incentive to get business ie the bank will agree to pay some portion of any discharge fee, mortgage duty etc etc.

I have in particular been approached by the NAB and AMP in relation to their professional packages. I havent discussed in any detail yet, and thought that i would ask for any tips from forum members on past experiences with this sort of thing first.

Will banks come to the party?

They should. I'm on the ANZ breakfree package, and have a few loans with them. I told them CBA has a better 5 year fixed rate and they gave me a 0.15% discount (on top of whatever I already get from the breakfree package). I was going to go with ANZ anyway as I don't have to pay refinancing fees if I remain with them.

I also have the CBA professional package, and from now on I'm going to play ANZ and CBA off against each other. The professional packages are definitely worth it if you have multiple loans (or plan to). You get something like 0.5% off per loan for a fee of around $300 a year (and get fee free credit cards, etc). If you have more than 3 or 4 loans, I would suggest going with more than one bank.
Alex