Hello I am writing this post in the hope that someone on the forum may be able to inform me if there is any possibility of reducing an exit fee in which i am incurring due to a refinance. I have a large loan on my PPOR with resimac I am refinancing to ANZ. I have been with resimac for just over 2. yrs ( July 2010) I have just checked my contract and my exit fee is 1.5. on the original loan amount. I understand that I signed the contract, I am just hopeful as it is almost 15k. Thank you in advanced.
Exit fees
- Thread starter Indulgedbelle
- Start date
Ouch I haven't done a non-conforming Resimac deal for a while - and I try to stay away as most people in those situations never have the right paperwork anyway.
Back to your situation - There's probably not much you can do about the break fee - but what are the terms of your contract? Does the break fee go down to 0 after 5 years?
Back to your situation - There's probably not much you can do about the break fee - but what are the terms of your contract? Does the break fee go down to 0 after 5 years?
The good news is that lenders can't charge exit like that anymore, but that doesn't help those who entered into contracts before this became law. Most mainstream lenders decided to waive the fees on their older contracts as a show of good faith, but they weren't the ones with the real nasty fees anyway. Regardless, Resimac and a few of the others aren't giving it up that easy.
We've refinanced a few away from Resimac here and there where it was worthwhile. They're not a good lender to deal with. In the last refinance they took 6 weeks just to give the new lender a payout figure to get the refinance ball rolling.
We've refinanced a few away from Resimac here and there where it was worthwhile. They're not a good lender to deal with. In the last refinance they took 6 weeks just to give the new lender a payout figure to get the refinance ball rolling.
Thank you for the prompt replies. Yes the exit fees do not apply after 3 yrs, I understand that an option would be to wait for the next 8mths and then move, however moving now to ANZ enables us to save 1.5bp which on this loan amount is a huge bonus for us. I was hoping that resimac were only permitted to charge us an exit fee that reflects what their loss would equate to ( fees etc, not interest payments). Thank you for your replies.
Considering that Resimac charges north of 10% for their products and ANZ would be charging circa 6%, that represents a 4% saving. Even over 8 months that results in a saving of 3.2%.
Ahh yes I can see that, for some reason I was reading that rate difference was also only 1.5% which for a non conforming seems very small.
