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Is one phone call really all it takes to secure a lower interest rate?



With official interest rates trending downward, shrewd mortgage holders may take the opportunity to call their lender to ask for a better deal.


But when even a small interest rate reduction means potential savings of thousands of dollars, is a simple phone call really enough to get you there?


In 2019, ‘your interest rate should have a three in front of it’, is common advice for home owners considering the competitiveness of their loan settings.


But while a number of lenders offer lower rates to new customers, it’s not always so simple for existing customers to secure the same outcome.


We suggest if people want a better deal on their mortgage, there are basically two options:


  • Call your bank and ask them to match the new rate, or

  • Contact us and vote with your feet.


And although the first option is commonly recommended, lenders aren’t always so obliging when it comes to rate-matching to get you a more affordable mortgage.


As an existing client, it can be disheartening to see your bank offer new customers a lower rate to the one you currently have.


Lenders regularly try to ‘win’ new customers by offering low rates. It is a great acquisition strategy.


But if they refuse to match your current rate to this new offer, you can always contact us and refinance with a lender who is hungry to win your business. Currently some lenders are offering cash rebates of up to $3,500 for your refinance business, which would cover your switching costs and leave money in your back pocket!


We have access to a panel of 25 lenders and this creates competition amongst lenders. We are also in a position to offer you a more in-depth and customised level of service. This can allow us to find you a mortgage product that suits your current needs, wants and circumstances.

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