What in heck is going on with my Big Bank SMSF loan interest rate?
If you have a Big Bank loan to purchase a property in your SMSF you may have noticed the interest rate is... almost eye watering all of a sudden!
Why? The banks made a commercial decision - almost all of them, almost - to exit the SMSF lending space a few years ago. The loans that did remain on their portfolio have been bubbling away in the background with little attention given to them by anyone - customer and bank - and interest rates have been slowly creeping up.
We wouldn't say that they don't actually want the business anymore - but if it's going to remain with them they want a good penny for it, and that isn't what you want.
Refinancing SMSF loans has become more competitive and flexible, and potentials savings of around 3% pa (from some of the current rates we have viewed) is a compelling reason to investigate refinancing your SMSF loan.
Here's a quick example where our client will save around $17,000 in just 2 years on a relatively small loan - now, this is not personal advice, it doesn't mean these are the lenders who would approve your situation etc, so don't get caught up on the who, but definitely contact us for the HOW.
