Keep the family budget on track: home loan health check time

Rising costs can be offset by increasing savings  

With the Government revealing little in the way of reforms to give the average Australian a financial boost, Mortgage Choice says the onus is on the individual to help themselves claw back any holes left by changes made in the Federal Budget.   

Local Mortgage Choice mortgage broker, Melissa Jackson commented, “This latest budget didn’t throw any lifelines to the average Australian so this is the ideal time for families to review their household budget. It is important to review the fees, rates and charges they are paying for the financial products they hold, specifically their home loan as this is the single biggest outgoing for most families.”  

Mortgage Choice in Brisbane North has developed their top 5 savings tips for home loan holders  

1)  Check your home loan rate following this month’s cash rate cut by the Reserve Bank – Keep in mind, not all lenders have passed on the rate cut so borrowers with a variable rate home loan should do their research and shop around if they have not benefited from the full rate cut.   

2)  When rates fall, keep repaying more – Consider keeping your repayments at the higher, pre-cut level and help repay your home loan sooner while building up a financial buffer for the future.  

3)  Make the move from monthly to fortnightly repayments – Switching your monthly repayment to fortnightly may make a significant difference to your loan term and the interest owed over the life of the loan. There are 26 fortnights in one calendar year, so by paying fortnightly you make the equivalent of 13 monthly repayments during the year.  

4)  Avoid added stresses – A major cause of repayment headaches is the mindset that a new car, renovations and/or furnishings are must-have items following a property purchase. Maintaining a tight rein on your post-purchase spending will help you to avoid adding any unnecessary pressure to your finances.  

5)  Book an annual home loan health check – Regularly revisit your home loan’s fees and features, plus your repayment strategy. Consider booking in for an annual home loan health check with a local mortgage broker to see how your home loan stacks up against other products currently available. If your personal circumstances have changed, you may now be eligible for a wider range of products and/or discounts.  

Melissa concluded, “More often than not, it costs nothing and takes only a small amount of time to review your home loan. Given the potential savings that could be made, there is nothing to be lost by shopping around with the expert help of a mortgage broker, like myself.”   If you want to learn more about your home loan options, call 0405 315 227, or log onto    

For further information or to arrange an interview, please contact:  

Melissa Jackson

Mortgage Choice

0405 315 227  

Important information  

This article is for general information purposes only. It has been prepared without considering your objectives, financial situation or needs. You should, before acting on the advice, consider its appropriateness to your circumstances.  

About Mortgage Choice   

Mortgage Choice has sourced a home loan for well over 350,000 people since 1992. It works with all manner of property finance borrowers via hundreds of franchises.  

The company writes one in every 25 home loans in Australia by providing professional guidance on, and choice of, products offered by an extensive panel of leading lenders. Many of its brokers provide a broader service, helping customers source commercial and personal loans, asset finance, deposit bonds and providing referrals for risk and general insurances.  

Uniquely, Mortgage Choice pays its franchisees the same commission rate for home loans they write, regardless of rate paid by the lender a new customer selects, working in the customer’s best interests to tailor a solution to them.  

To cater to the growing needs of our customers, Mortgage Choice soft-launched in October 2012 its new financial planning business. Mortgage Choice Financial Planning will officially launch in FY14.  

The company has no balance sheet or funding risk, and consistently delivers strong profits and attractive yields. It listed on the ASX in 2004 (MOC) and is a member of the Mortgage & Finance Association of Australia (MFAA).  

Recent recognition: 2012, 2011 Australian Broking Awards Major Brokerage of the Year – Franchise; 2012 Australian Broking Awards Best Training and Education; 2012 Australian Broking Awards Best Ethical/Social Responsibility Program;  No.1 on The Adviser magazine’s 2012, 2011, 2010 and 2009 Top 25 Brokerages list; 2012, 2010, 2009, 2008, 2006 and 2005 MFAA Awards Retail Aggregator/Originator of the Year; 2011, 2010, 2009 and 2008 10 Thousand FEET Top 10 Franchise list; 2010 Forbes Asia-Pacific Best Under A Billion list.  

Mortgage Choice holds an Australian Credit Licence: no. 382869, issued by ASIC.  

Visit or call customer service on 13 77 62.  

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