Loan Redraw Facilities!

Discussion in 'Current Affairs' started by Silver260, May 4, 2020.

  1. Silver260

    Silver260 Well-Known Member Silver Stacker

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  2. Oddjob

    Oddjob Well-Known Member Silver Stacker

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    ^^^^^
    Move any cash (away from your loan/s) to another bank / institution etc if you can.

    That's what the big companies do to avoid any potential for set-off in the event of a default.
     
  3. leo25

    leo25 Well-Known Member Silver Stacker

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    After everything the banks have done over the many years, i doubt if they really care about PR backlash. It's not like we have many options here in Australia. They will always put their shareholders above their customers, so your actions should always be based on that in mind.
     
    Last edited: May 5, 2020
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  4. Ag bullet

    Ag bullet Well-Known Member

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    the trouble is with the current situation the customer can't use the threat of moving banks and refinancing your mortgage. the banks know this.

    customer- "i'd like to apply for a home loan as i want to move banks"

    bank- "what do you do for work?"

    customer- "arhh fk!"
     
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  5. leo25

    leo25 Well-Known Member Silver Stacker

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    Or

    Customer: I'd like to refinance my $900k mortgage with you guys.

    New bank: We value your apartment at $650k, plus we calculate your wage from KFC won't be able to make the minimum repayments on $650k let alone $900k Please leave our bank without a fuss.

    You then go home, turn on the TV and see ScoMo telling people if you're unhappy with your home loan then just shop around, easy.

    [​IMG]
     
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  6. Ipv6Ready

    Ipv6Ready Well-Known Member Silver Stacker

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    Any banks needing to do that is likely close to bankrupt.
     
    Last edited: May 5, 2020
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  7. Ag bullet

    Ag bullet Well-Known Member

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    so true Leo!
     
  8. mongrelmaple

    mongrelmaple Well-Known Member Silver Stacker

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    But... what about all those “have a go’s” that ScoMo carries on about? Surely, if you have a lot of “have a go’s” in the bank, that’ll change their tune? Gotta be worth more than the fiat they have :D
     
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  9. Markco2

    Markco2 Member Silver Stacker

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    Just finished watching a youtube video by Martin North and John Adams with regard to the difference between an Offset Account and Loan Redraw Facility.
    Much depends on the Terms and Conditions set out in the contract by the bank. They do vary.



    Cheers Markco2
     
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  10. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    I like this from the comments section:

    "Your house is not an ATM. Re-draw equals HELOC. HOME EQUITY LINE OF CREDIT."

    Get an offset account.
     
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  11. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    General advice from our adviser in an email to all of his clients is that if you have funds set aside in your redraw facility and you are expecting to use those funds and need access to them then you should withdraw them - today. Naturally he explains that if you intend to do so then you should get financial/legal advice applicable to your individual position.

    He says put the funds in an offset account or if you don't have one a savings account.
     
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  12. Silver260

    Silver260 Well-Known Member Silver Stacker

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    Good advice @mmm....shiney! and @Markco2.

    I haven't watched the video yet, but I did read the Terms and conditions of my personal loan..... Basically they can do whatever they want, whenever they want. But, and they actually state... "You will be notified after the change has occurred", how f.. ing generous.. Lol.

    So I had already transferred the bulk out. I'll simply keep making the extra payments required to meet, my own, 12 month repayment plan.
     
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