As Australians, we are often set and forget kind of people. You've done all the hard work, negotiated the interest rate on your mortgage and then take your eye off the ball whilst the direct debits go monthly from your account and years later you wonder, is my rate still competitive? This is particularly the case in the current climate where the cash rate is holding at record lows. So you've realised this, what do you do next?
RESEARCH. What is your current interest rate? You may have to check your internet banking or call the institution your mortgage is through, as often statements don't have the rate clearly stated.
Is your rate competitive? Jump online and have a look at what other institutions are offering.
Gather information about your personal situation, particularly with regards to:
- Your payment history - have you paid on time consistently, have you increased your rate/amounts of payments to pay the loan down faster etc
- Do you have any other accounts with the lender?
- What is your loan to valuation ratio? (You may want to have an up to date valuation on your property if you haven't for a while to give you an idea on this)
Once you have the information to strengthen your argument., call your financial institution and ask for a better rate! Or better yet, contact PK Property Finance today on +61 2 9960 1066, and we can arrange an obligation free meeting to discuss your situation and handle this for you!