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Mortgage Rate Changes July 2019

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Following the Reserve Bank’s cut to official interest rates on 2 July 2019, First Option commenced a review into the pricing of its mortgage loans.

As a member-owned bank, First Option has considered the impacts of a rate change on both depositors and borrowers.

Following the review, First Option has made the following decisions:

Owner Occupied Home Loans

New applications effective 18 July 2019. Existing loans effective 1 August 2019.

The variable rates above apply to Principal and Interest loans. For Interest-Only loans please add 0.20%.

Investment Loans

New applications effective 18 July 2019. Existing loans effective 1 August 2019.

The variable rates above apply to Principal and Interest loans. For Interest-Only loans please add 0.20%.

Ask questions when comparing mortgage products

While a competitive rate is important, there are many other features to consider. These could save you thousands of dollars over the life of your loan.

  1. Do you charge monthly fees?
  2. Do you allow borrowers to make extra loan repayments without penalty?
  3. Do you penalise members for paying out their loan early?
  4. Does the honeymoon rate change to a higher rate, meaning you pay more total interest over the life of the loan?
  5. What is the comparison rate?

Additional Benefits of a First Option Home Loan Package

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