With rates at historic lows, and many changes to lending policies between loan providers, now is a great time to review your mortgage requirements.
Have you had your current loans in place for a while? Chances are, with all the interest rate and policy changes over the last couple of years, you’re no longer getting the most competitive deal.
The mortgage broking team at AGS can help, and with a full time broker now based in Melbourne in addition to the team of six in Sydney, we are saving more clients more money than ever. Here are some recent success stories.
Why loyalty costs you money
Chris and Michelle had been banking with their previous major bank for over 5 years. As a client of AGS Financial Group for their Financial Planning needs, an AGS broker phoned them to offer a complimentary banking health check on their home loan and see if any savings or adjustments could be made. Chris loves saving money and agreed to meeting with the AGS broker to discuss other options. By switching lenders AGS saved them 0.3% on their home loan and annual fees of $375 per year for the life of their loan. As their home loan was $950,000 that was a saving of over $2,850 per year in interest alone and $11,250 annual fees over the 30 year loan term. Sometimes loyalty really can cost you money.
Broker versus customer in negotiating power
Pete and Angela, two very loyal long term customers of a major bank, recently sold their home to upgrade. When they spoke with their bank to request a better discounted interest rate for their newly purchased home, the bank offered 0.7% off the standard variable rate, and their bank manager improved this to 1%. Thrilled with the outcome, Pete and Angela told Pete’s brother at their recent family BBQ of how savvy they were in getting a better rate. Tom (Pete’s brother) congratulated them on their discount however insisted they get a second opinion and referred them on to his broker at AGS Financial Group. The AGS broker managed to negotiate a 1.3% discount off the standard variable rate of their home loan with their existing bank. A difference of 0.3% from what the bank manager had offered them and a whopping 0.6% difference from the standard advertised discount. An experienced broker knows the ins and outs of lending and knows how to get the best deal; even with your existing bank.
Are you confident that your bank is giving you the best deal?
It’s easy to find out – why not contact us today to see how your current loans compare.
AGS Financial Group Pty Ltd, ABN 70 093 990 946, trading as AGS Financial Group, are authorised representatives of AMP Financial Planning Pty Limited ABN 89 051 208 327 (Australian Financial Services Licence No. 232706). Accounting, taxation, and business advisory services are provided by AGS Accounting Pty Ltd ABN 12 166 728 696. AGS Accounting Pty Ltd is a member of Chartered Accountants Australia & New Zealand. Liability limited by a scheme approved under Professional Standards Legislation. Any advice on this page is general in nature and does not take into account your personal objectives, financial situation or needs. Accordingly, you should consider the product disclosure statement for any product and your own objectives, financial situation and needs before acting on this information and before acquiring a financial product. You can obtain a copy by contacting us on 02 9966 8188.
Financial planning, corporate benefits and mortgage services are provided by AGS Financial Group Pty Ltd ABN 70 093 990 946, an Authorised Representative of AMP Financial Planning Pty Limited ABN 89 051 208 327 (AMPFP), AFS Licence No 232706. Accounting, taxation, and business advisory services are provided by AGS Accounting Pty Ltd ABN 12 166 728 696. AGS Accounting Pty Ltd is a member of Chartered Accountants Australia & New Zealand. Liability limited by a scheme approved under Professional Standards Legislation.