Rate Cuts, Repayments & Refinancing: What You Need to Know
The chatter around interest rates never really stops, and with whispers of another rate cut on the horizon, many Aussie homeowners are left wondering what it means for their mortgage. BrokerCo’s Paul recently joined Hot 91.1’s Hot Property to share insights on repayments, refinancing, and how a quick phone call to your bank could put you ahead.
What Does a Rate Cut Really Mean?
While a rate cut sounds like good news, the impact isn’t always straightforward. Some lenders automatically adjust your repayments, while others leave them unchanged, pushing the benefit into your redraw instead. This can save you money over time but doesn’t help much if you’re juggling rising living costs.
That’s why it’s important to take action, not just assume the banks are working in your favour. A quick check of your repayments and a conversation with your lender (or broker) can uncover real savings.
Why Now’s the Time to Review Your Loans
When rates shift, competition between banks tends to heat up. That creates opportunities not just for your home loan, but also for:
- Investment loans
- Car finance
- Credit cards and personal loans
Rolling multiple debts into one loan, or simply refinancing at a sharper rate, can help you free up cash flow and reduce long-term interest.
Key Takeaways for Aussie Borrowers
- Don’t wait for the bank — they won’t always adjust repayments automatically.
- Pick up the phone — it doesn’t hurt to ask for a better deal.
- Shop around — lenders are competing hard in today’s market.
- Talk to your broker — we can compare options across the board, not just with one bank.
Need Help Navigating Rate Changes?
If you’re feeling the pinch or just want to make sure you’re not paying more than you need to, BrokerCo is here to help. Reach out today and let’s review your loans together, so you can take advantage of the opportunities a rate cut brings.