Discounts on home loan, any one got above .7

Yes, CBA have become a lot more rigid in doling out discounts. ANZ and a to a lesser extent Westpac are easier to strike a deal with at the moment, a; because they lost a bit of market share with the GFC changes to credit, and b; their STV is higher that NAB and CBA ATM.
As has been said time and again on this site, its not about rate, its about flexibility. If you can find a lender that ticks the right boxes in as far as loan amount, LVR, flexibility, product etc etc, and they happen to have a process for asking for a discount ATM, excellent. Next month, the banks policies, and discounts will be diferent again.
 
The negotiating on interest rate with the bank...
Negotiating on rent with your tenant

vicious circle where he who has the gold makes the rules
I suppose its who is dependent on perspective.
 
Westpac have become very aggresive with mortgage pricing for new business. Not sure how you will go with the retention side of things. I'm sure it would depend on your relationship with the bank and the value of your business.

As mentioned previously, the bank is focussed on earning all of your business, not just your finance & if you have other products and services with the bank ie; insurances, banking etc, they may be more inclined to negotiate.
 
One which has been skipped...

Theres always the Rock building society. Branch networks are nice but... if you dont need them

To quote an email

For a limited time, The Rock is offering an increased discount on our Rock Star Product.
We are increasing the discount to a full 1% off the Standard Variable rate for the life of the loan; this means that the current interest rate is 5.49%.

This special offer is available to new borrowings of $250,000 or more; with a LVR of 90% or less.

For the low annual cost of $300 the product benefits include:
- Interest Rate discounted by 1.00% from the Standard Variable rate for the life of the loan.
- Up to two 100% offset accounts, free of account keeping fees, Eftpos and ATM fees if The Rock or Westpac ATMs are used.

- Ability to make unlimited additional repayments, free of charge, so long loan is not repaid in the first 4 years.
- Able to arrange direct debit repayments from existing bank account, with no additional fees or charges from The Rock.
- No compulsory Credit Card meaning you can keep your current rewards points.
- Phone and Internet banking available.
- No application fee.
- No monthly fee.
- Fee free redraws (conditions apply).
 
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Thanks Bill

makes sense.

case by case there are lenders that are buyng business, many times below 20 % ROI which I have been told isnt sustainable.

ta
rolf
 
I just think its great that westpac have come to the party and are now offering these discounts publicly.

On Monday, I'm ringing Westpac's mortgage centre, and email them the hyperlink of this thread to achieve the same discounts for myself, and I'd encourage all westpac clients to do the same and get westpac to look at this thread to see the great leadership that Bills taken in breaking out to achieve these discounts. If true, I cant see how they wouldnt be available for all clients who have been there for years as the profitability of the customer increases as time goes on.
 
I've got about 800K loans with Westpac, discount of .7%. Is 400K the total that you have borrowed from Westpac or is higher than that?

I'm going to contact them to see whether they'll give me a better discount.
 
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Westpac has given me 1.1% off for 3 months

Westpac has just given me .8% off my loans on a permanent basis, it was previously .7% off due to the professional package that I am in. They have given me an additional .3% off until the end of February, a total of 1.1% off the variable rate. They said that they will review my position in March 2010.

I mentioned that I can get .8% off Homeside (NAB) loan. I also pointed out that NAB raised their variable loans only by .25% compared with Westpac's .45%. They came to the party outdoing what Homeside were able to do. It appears that they are very sensitive to all the bad publicity that they have been getting recently.

I'm very happy with the outcome as it will save me quite a bit of money each month.
 
Very nice work Nth Brisbanite! :) Did you do this by contacting the Mortgage Centre direct, or going through your broker?

Would be really interested to know as we have loans with Westpac too, and any savings definitely help after their recent +.45% increase.
 
I was thinking about this post when I heard of Westpac increase. SO a westpac .8 discount is now like getting .6 off NAB.... Until next month when it changes again.
Of course its good to get a discount, but the first priority is always about structure and flexibility.
 
tobe said:
I was thinking about this post when I heard of Westpac increase. SO a westpac .8 discount is now like getting .6 off NAB.... Until next month when it changes again.
Of course its good to get a discount, but the first priority is always about structure and flexibility.
Click to expand...

Maybe those of us with westpac loans should now be ringing them up and demanding a higher discount or we walk
 
Nth Brisbanite said:
Westpac has just given me .8% off my loans on a permanent basis, it was previously .7% off due to the professional package that I am in. They have given me an additional .3% off until the end of February, a total of 1.1% off the variable rate. They said that they will review my position in March 2010.
Click to expand...

Great work NB.

No harm in trying a few banks. What are those margins at again....
 
BV said:
Maybe those of us with westpac loans should now be ringing them up and demanding a higher discount or we walk
Click to expand...

interesting article in the weekend paper about how vulnerable westpac have left themselves. something like 56%? of westpac customers have a banking relationship with another bank. The head of the 'company' doesn't even bank Wetpac, so you have to wonder.
 
auror said:
Very nice work Nth Brisbanite! :) Did you do this by contacting the Mortgage Centre direct, or going through your broker?

Would be really interested to know as we have loans with Westpac too, and any savings definitely help after their recent +.45% increase.
Click to expand...

My broker said that he couldn't help me directly. He suggested that I contact Westpac myself which I did late Friday. They gave me the positive response on Saturday morning - it's great that they work on Saturday in contrast to some of the smaller players out there. What a great Christmas present!! I've worked out that the reduction will save me about $3800 a year or a bit over $300 a month.

The whole process was very painless. The consultant was very helpful. She said straight away that it would be reduced by .8% as a minimum. I got a bit of a shock when she said that it would be reduced by an additional .3% for 3 months after which they would look at it again in late February/early March
 
I think this is a very relevant topic for the times.
People are whinging about the banks raising the 'standard' rate by more than RBA rates, but one must remember that discounts to the 'standard' rate have never been more available to the masses.
Back in year 2000 from memory the discounts were rear (i remember choosing CBA because they were the only bank to offer a professional package to charted accountants but you needed to validate your qualifications).

So if you factor in the discounts of 0.7% which you can then negotiate upwards depending on your loan size, i dont think rates are really out of keal, especially when one considers the decent term deposits on offer relative to RBA rates (under the old easy lending environment term deposits would approximate RBA rates)

Just my 2cents
 
Hi All,

I get offered .9% discount by CBA but i think NAB is trying to join the party and give me a bit more like 1%.

Its definitely time to negotiate hard with the banks....
 
traveller said:
Hi All,

I get offered .9% discount by CBA but i think NAB is trying to join the party and give me a bit more like 1%.

Its definitely time to negotiate hard with the banks....
Click to expand...

Traveller, are you able to share what total amount of lendings you were able to get the 0.9% off from the CBA?
 
You should be able to get it for anything over 700K. If less then that the person selling you the loan is earning a fat commission. Remember all the CBA staff are mostly on commission.
 
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