Hi All
Wondering if anyone could help with this.
I have a 3 year fixed rate with St George about to expire (20 days from now) and just received the documentation for it to revert to an Advantage Package loan (5.04% variable - discount 0.75%).
In the acknowledgment form info (doesn't seem to be a proper full loan contract) it mentions there is a $1000 Early Repayment Fee if the loan is discharged prior to the third anniversary of the loan. I'm fine with that.
However, in one of the brochures attached it also makes reference to an Early Termination Fee of 0.9% of the loan balance (which would be a huge fee). It's very difficult to understand under what situations it applies but I called the call centre and asked and they said yes, if I discharge it prior to 3 years they will charge me 0.9% of the loan balance. I thought it was quite sneaky that there are two different early termination fees and one is shown prominently and the other is buried in their booklets. The size of this fee is totally unacceptable.
Has anyone else noticed this and were you able to negotiate it?
Adam
Wondering if anyone could help with this.
I have a 3 year fixed rate with St George about to expire (20 days from now) and just received the documentation for it to revert to an Advantage Package loan (5.04% variable - discount 0.75%).
In the acknowledgment form info (doesn't seem to be a proper full loan contract) it mentions there is a $1000 Early Repayment Fee if the loan is discharged prior to the third anniversary of the loan. I'm fine with that.
However, in one of the brochures attached it also makes reference to an Early Termination Fee of 0.9% of the loan balance (which would be a huge fee). It's very difficult to understand under what situations it applies but I called the call centre and asked and they said yes, if I discharge it prior to 3 years they will charge me 0.9% of the loan balance. I thought it was quite sneaky that there are two different early termination fees and one is shown prominently and the other is buried in their booklets. The size of this fee is totally unacceptable.
Has anyone else noticed this and were you able to negotiate it?
Adam