$2,000 cashback, competitive home loans, discounts, flexible loan options, and other features when you refinance your home loan with the CBA.
Choosing the bank or lender to refinance your home loan can be daunting. It's a process that involves assessing your financial situation, understanding your need for refinancing, and finally picking the lender offering you the most competitive deal.
Suppose you are looking at refinancing your existing home loan or plan to shift it from another bank. In that case, you could consider the wide range of refinance options and benefits, including a $2,000 cashback from the Commonwealth Bank of Australia (CBA).
Here's a quick round-up of when refinancing becomes a viable choice and how CBA can help you.
Why refinance with the CBA?
The Commonwealth Bank is one of Australia's leading integrated financial services providers. CBA's refinance aims to help you get more out of your home loan. Read on to decide if CBA refinance suits your requirements.
CBA's $2,000 Cashback Minimum Refinance Amount
You can access CBA's cashback on owner occupied home loans and all investment loans when your minimum refinance amount is $250,000.
Customers applying by December 31, 2022, can have their loan funded by March 31, 2023. The offer, however, is not available for bridging loans.
As per the plan, there is a limit of only one $2,000 cashback per borrowing entity and per customer over a one-year period.
Qualifying for CBA $2,000 Home Loan Refinance Cashback Offer
Home loans funded on and from January 1, 2020, are eligible for this offer. Owner Occupied Interest Only home loans are eligible if they are funded on and from April 7, 2020
A minimum of $250,000 must be refinanced from a financial institution excluding Commonwealth Bank or Bankwest.
If the complete minimum refinance amount of $250,000 or more is reached, Viridian Lines of Credit may be allowed as part of a multiple loan facility application.
The offer limits one $2,000 cashback per borrowing entity (individual, company, joint borrowers) and per customer over a one-year period.
The Cashback Offer for Joint Applicants
In the case of joint applications, too, there is a limit of one $2,000 cashback per application.
If one of the joint applicants has availed the cashback in the last year, then that customer will not be eligible for the offer.
Similarly, in cases where all applicants have received a cashback in the past year, their joint loan will be ineligible for the cashback offer.
How Will You Receive Payment for the Cashback Offer?
You cannot combine CBA's cashback offer with a Wealth Package fee waiver.
The cashback amount will be credited to the Commonwealth Bank transaction account that is linked to the loan or the borrower/s within 90 days of the loan funding. The account could be held jointly with an unrelated party.
Key Notes About the CBA Cashback Offer
CBA includes all the terms and conditions in the loan offer and reserves the right to terminate the cashback offer at any time.
All applications for finance products are subject to credit approval, while ongoing fees and charges may be imposed as applicable.
Other Benefits of Refinancing or Switching Your Home Loan to CBA
Choice of loan to match your need
You can choose to refinance with either Fixed Rate or Standard Variable Rate loans while enjoying considerable savings with CBA's competitive range. CBA's lending specialists will help you navigate the entire process.
If you are deliberating a choice between a fixed rate or variable rate home loan, do read our article, Interest Rate Rise: Fixed Or Variable Rate Mortgage? for insights to help you make an informed decision.
Wealth Package fee waiver
You are eligible for CBA's Wealth Package, which gives you access to special discounts. The Wealth Package also helps you in saving money on fees and products as you do not have to pay upfront fees such as home loan establishment fees, monthly loan service fees, and yearly credit card fees (you only have to pay $395 as an annual package fee).
Home Loan Compassionate Care
Refinancing with CBA enables eligible owner occupiers to secure this complimentary protection. Subject to terms and conditions, the home loan payments are made for around a year if the insured home loan holder/spouse or dependent is medically certified with a terminal illness or passes away.
This feature is available on CommBank's eligible new and existing Owner Occupied home loans, irrespective if you've taken the loan directly from CBA or through your broker.
Flexible Loan Options for costs savings
Features like redraw, split rate loans, and multiple free offsets on eligible loans help reduce the cost of your interest repayments. Please do go ahead and read about redraws and offset accounts on our blog to understand if they are right for you.
You could also check out Mortgage Calculator With Offset Account and discover how much you could potentially save by repaying your loan with an offset account.
Manage your Home Loan Conveniently
When you switch to CBA, you get access to the innovative and award-winning 'CommBank My Property' tool. It provides you with a user-friendly experience to securely track and manage your home loan and property's performance in the NetBank and the CommBank app. It also offers you valuable market insights and other resources to plan your future and property goals.
It involves borrowing additional buffer amounts to cover your pay-out estimation. FASTRefi® is ideal for eligible home loans and lenders. When you refinance with CBA, you can quickly avail FASTRefi® benefits for hassle-free refinancing based on terms and conditions stipulated by the bank.
However, if you are not eligible or if FASTRefi® is not suited for you, you can opt for CBA's standard refinance option.
Refinance using FASTRefi® can occur within a few days of the bank receiving your approved loan and FASTRefi® documentation. After your loan is repaid and the account closed, the other financial institution will refund surplus funds, if any.
Why Should I Refinance?
Refinancing involves repaying your current home loan with a new loan. Your financial situation and status of financial commitments may have evolved since taking on your home loan a couple of years ago. You may probably want to reduce your loan term or reduce interest repayments and consequently pay off your loan sooner.
Sometimes, home loan buyers also consider refinancing to avail of better features and add-ons that have been introduced more recently. Many homeowners consider refinancing for the following reasons:
- To unlock home equity for lifestyle expenses such as travel, home renovations, etc.
- To benefit from a more suitable interest rate, access to or new features such as redraw facilities, flexible repayments, an offset account, etc.
- To manage finances more easily for debt consolidation of personal loans, credit card payments, car loans, etc.
- They are approaching the end of their fixed rate loan terms and prefer to shift to a flexible home loan with better interest rates.
- To shift to a different type of home loan altogether, moving from fixed to variable rate loan and vice versa with the current bank or a new lender. Some opt for refinancing to split the loans into fixed and variable rate components.
If you'd like to access more comprehensive insights or know if refinancing is right for you, read Joust's blogs on refinancing.
Visit Joust for all Your Home Loan Refinancing Needs
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Using our simple, secure, and straightforward platform, you can access up to over 80% of the home loan products on the market in just a few clicks.