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Fixed Interest Break Fee

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Andy | 14 Dec 2012, 09:07 PM Agree 0
Does anyone know if there are any banks offering assistance in paying a fixed loan break fee when switching to them from a competitor? I would have thought this would be worthwhile for Home Lenders right now.
  • Eos Property | 15 Dec 2012, 11:30 AM Agree 0
    I would expect a fixed interest break fee would be too high for most banks to consider 'taking on' - how much i are you looking at?

    Just do your maths - if you broke your fixed interest loan how long would you take to recoup your costs. That will help you to determine whether or not breaking is a valid option for you.
  • geoff mckenna | 20 Mar 2013, 12:08 PM Agree 0
    Best you can expect is about $700 (special with various lenders from time to time) to cover standard refinancing costs.

    Every time I have done the calculation for a client / potential client the cost of exiting was about the same as the cost of staying, each time the client has choosen to stay

    Geoff McKenna
    Guidnace Mortgage brokers
    0405 447 131
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