Firstly, consider making extra repayments right from the start. This can have a big impact on reducing the overall time and cost of your loan. Even if you’re already several years into your loan term, making additional repayments can still result in significant savings. Another strategy is to cut back on unnecessary expenses such as smoking, drinking, and eating out. By redirecting the money you save from these vices into your loan, you could be putting an extra $50 or more towards your loan each week. If your loan has an offset facility, setting up an offset or salary credit account can also be beneficial. This will allow you to have your salary paid directly into the offset account, reducing the interest you pay on your loan. Because interest is calculated daily, this can lead to significant savings in the long run. Aligning your repayments with your income cycle can also be helpful if you have an offset account. This will help you take advantage of the money sitting in your account for as long as possible. When interest rates fall, resist the temptation to lower your repayments. Instead, consider keeping your repayments at the old level, which can help you pay off more of the principle of your loan, especially if rates continue to drop. Lastly, it’s important to regularly review your loan to assess its effectiveness and identify any areas where you can save money. By staying on top of changes and making adjustments as needed, you can potentially save a lot of money over time.

It’s important to remember that large banks aren’t the only option when it comes to borrowing money. Smaller banks and specialized lenders can offer highly competitive loan products as well. Just because you’re not familiar with a particular lender doesn’t necessarily mean they’re not reputable. Your mortgage advisor can help you identify credible lenders that are best suited to your unique situation.

Lenders require a variety of documents, such as completed application forms, bank statements, your three most recent pay slips, and statements for any outstanding debts (such as credit cards or personal loans) over a three month period. If you’re a business owner, you may also be asked to provide your business financials. Additionally, lenders require proof of identity, usually in the form of a passport. These documents are necessary for lenders to assess your financial situation and determine your affordability.