Macquarie Bank Basic Flyer Home Loan

Rates and Fees verified correct on December 5th, 2016

Earn Qantas Frequent Flyer Points for paying off your home loan with the Macquarie Bank Basic Flyer Home Loan

Imagine earning Qantas Frequent Flyer Points for free flights, upgrades or other items in return for paying off your home loan. The Macquarie Bank Basic Flyer Home Loan does this, and starts off by giving borrowers a large bonus of Qantas Frequent Flyer Points after their loan is settled.

Then, providing your loan balance is above $150,000, you'll receive a regular bonus of Qantas Frequent Flyer Points every month. Finally, on both the third and fifth year anniversary of your loan you'll pocket yet another bonus of Qantas Frequent Flyer Points.

If you don't have a Qantas Frequent Flyer membership this loan will sign you up for free, saving you $89.50.

Interest Rate Max Insured LVR Max LVR
Investor
4.19% p.a.
Comparison Rate
4.19% p.a.
95% 80%
Owner Occupier
3.94% p.a.
Comparison Rate
3.94% p.a.
95% 80%
Product NameMacquarie Bank Basic Flyer Home Loan
Interest Rate TypeVariable
Comp Rate^ (p.a.)
Minimum Loan Amount$150,000
Maximum Loan Amount$200,000
Maximum LVR80%
Maximum Insured LVR95%
Mortgage Offset AccountNo
Loan Redraw FacilityYes
Suitable for InvestmentYes
Extra RepaymentYes
Available as equity loan/line of creditNo
Repayment TypePrincipal & Interest and Interest Only Options
Application Fee$0
Lender's Legal Fee$363
Valuation Fee$0
Ongoing Fees$0 p.a.
Discharge Fee$400

Pros

  • Ability to earn Qantas Points.
  • Borrow up to 95% of the property's value.
  • Additional repayments and redraw available.

Cons

  • No offset account.
  • Legal fees of $363.
  • A $400 discharge fee for closing the home loan accounts.

Things to consider about this loan

Before we delve into how the Qantas Frequent Flyer Points earned with this loan actually work, it's important to note where this home loan fits into the market.

The Basic Flyer Home Loan is available for purchases, refinancing and construction. It's a variable rate loan with low fees and decent features and it gives you a better rate the more you borrow.

Qantas Points bonuses - how do they work?

As mentioned above, the Basic Flyer Home Loan gives you Qantas Frequent Flyer Points in three ways.

  • When you settle your home loan you'll receive 10,000 Qantas Frequent Flyer Points for every $100,000 you draw down. This equates to 1 point for every $10 spent.
  • Every month you have the loan and as long as the loan balance is more than $150,000 on the last business day of the month, you'll receive 1,000 Points.
  • On the third and fifth year anniversaries of your loan you'll receive 25,000 bonus Qantas Frequent Flyer Points, provided your loan balance is above $150,000 on the last business day of the month.
How you could earn 160,000 Qantas Points with a $500,000 home loan in the first five years

Macquarie Bank claims you can make 160,000 Qantas Frequent Flyer Points on a $500,000 loan over five years.

This is based on

  1. 50,000 points earned at settlement (10,000 points per $100,000 equalling 50,000 points for $500,000)
  2. 60,000 points earned as a result of the monthly bonus (1,000 points per month multiplied by five years)
  3. 50,000 points earned as a result of anniversary gifts (25,000 points on the third and fifth anniversary)

To put this into perspective, a return economy flight from Sydney to London costs 128,000 Qantas Frequent Flyer Points and a return flight from Sydney to Rome costs 156,000.

Features of the Macquarie Bank Basic Flyer Home Loan

Earning Qantas Frequent Flyer Points may be a big reason why you're interested in this loan, but don't forget that the features offered are also very important. The features of the Macquarie Bank Basic Flyer Home Loan can be compared with other loans using the information below.

  • Maximum LVR. The maximum LVR for this product is 80%, although if you're prepared to pay a Lender's Mortgage Insurance (LMI) premium you can borrow up to 95%.
  • Family guarantee option. A family guarantee involves a family member using their property as security for a portion of your loan. This means you may be able to use them to support your application.
  • Additional repayments and redraw facility. You're free to make additional repayments whenever you need to with this loan. Then, you can access these extra funds using the redraw facility, meaning there's no drawback to putting extra money towards your loan when you can.
  • Interest-only option. In addition to regular principal and interest repayments you can convert this loan to an interest-only loan. This reduces the amount you have to pay towards your repayments, but means you only pay the interest due on your loan and not the principal or amount borrowed.
  • Sub-accounts. You can split your loan into up to six sub-accounts, which means you could make different portions fixed or variable.

Fees

Fees you can avoid

  • LMI Amount varies. As mentioned above, you won't pay this if you borrow less than 80% of the property value.
  • Account management fee $0. This annual fee is charged by Macquarie Bank in order to pay for the costs of managing your account, but isn't charged for this loan.
  • Application fee $0. This is a fee charged for applying and processing your loan and can cost hundreds of dollars. This loan doesn't charge this fee.
  • Construction administration fee $699 - $999 (varies depending on how much you borrow). This is charged if you plan to use this loan to pay for the construction of your home.

Fees you can't avoid

  • Legal fee $363. This is charged to legally process the documents required for your home loan.
  • Discharge fee: $400.  This fee is charged upon the closing of your loan accounts with the bank.

How to apply for the Macquarie Bank Basic Flyer Home Loan

If you’re interested in the Macquarie Bank Basic Flyer Home Loan, please speak to a mortgage broker or contact Macquarie Bank directly. Here are the eligibility requirements you will need to meet:

  • Age requirement. You are required to be an Australian citizen aged at least 18 years old.
  • Credit rating. You must have a strong credit score as the bank will need to be sure that you will not default on your home loan.

The following documents will also be required:

  • Proof of income. The bank will require your income statements or payslips before approving your application.
  • Driver’s licence. This, or some other form of photo ID, is required to show that you are an Australian resident and to prove your age.

If you’re looking for a home loan with a rewards program and competitive interest rates you should check out the Macquarie Bank Basic Flyer Home Loan. Compare various home loan products on finder.com.au and find a product that suits your mortgage needs today.


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Macquarie Bank Basic Flyer Home Loan Interest Rate History vs RBA Cash Rate Graph


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This page was last modified on 21 September 2016 at 14:19.

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Macquarie Bank Basic Flyer Home Loan

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  • Comparison Rate

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  • App Fee / Annual Service Fee

    $0 / $0

  • Max LVR

    80%

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