Teachers Mutual Bank Fixed Option Home Loan Review

Rates and Fees verified correct on December 11th, 2016

Enjoy the security of a fixed rate and lock your interest rate in for up to five years with a Fixed Option Home Loan from Teachers Mutual Bank.

If you like the security that comes with knowing exactly how much your home loan repayments will be, a Fixed Option Home Loan from Teachers Mutual Bank could be the right mortgage for you. Available with a competitive fixed rate, the loan allows you to lock in an interest rate for up to five years, and then budget for consistent repayment amounts. Once the fixed rate period ends, you can either lock in another fixed rate period or let your home loan revert to the standard variable rate.

There are no ongoing fees with the Teachers Mutual Bank Fixed Option Home Loan, while a 100% offset account is also included to help you reduce interest repayments and pay your loan off as quickly as possible.

Interest Rate Max Insured LVR Max LVR
1 Year (Investor)
3.99% p.a.
Comparison Rate
5.05% p.a.
90% 80%
1 Year (Owner Occupier)
3.69% p.a.
Comparison Rate
5.02% p.a.
95% 80%
2 Years (Owner Occupier)
3.74% p.a.
Comparison Rate
4.91% p.a.
95% 80%
2 Years (Investor)
4.04% p.a.
Comparison Rate
4.96% p.a.
90% 80%
3 Years (Owner Occupier)
3.84% p.a.
Comparison Rate
4.82% p.a.
95% 80%
3 Years (Investor)
4.14% p.a.
Comparison Rate
4.90% p.a.
90% 80%
4 Years (Investor)
4.49% p.a.
Comparison Rate
4.95% p.a.
90% 80%
4 Years (Owner Occupier)
4.19% p.a.
Comparison Rate
4.84% p.a.
95% 80%
5 Years (Owner Occupier)
4.29% p.a.
Comparison Rate
4.82% p.a.
95% 80%
5 Years (Investor)
4.59% p.a.
Comparison Rate
4.94% p.a.
90% 80%
Product NameTeachers Mutual Bank Fixed Option Home Loan
Interest Rate TypeFixed
Comp Rate^ (p.a.)
Minimum Loan Amount$25,000
Maximum Loan Amount$5,000,000
Minimum Loan Term1 year
Maximum Loan Term30 years
Maximum LVR80%
Maximum Insured LVR95%
Mortgage Offset AccountYes
Mortgage 100% OffsetYes
Loan Redraw FacilityNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableYes
Suitable for InvestmentYes
Extra RepaymentNo
Available as equity loan/line of creditNo
Repayment TypePrincipal & Interest and Interest Only Options
Application Fee$600
Valuation Fee$250
Ongoing Fees$0 p.a.
Settlement Fee$150

Pros

  • $0 ongoing fees.
  • 100% offset account available.
  • Split loans options also available.

Cons

  • $600 application fee.
  • $150 settlement fee.

Things to consider about the Teachers Mutual Bank Fixed Option Home Loan

The Teachers Mutual Bank Fixed Option Home Loan allows you to borrow up to 95% LVR (loan-to-valuation ratio) if you take out lender’s mortgage insurance. If you’d like to avoid the cost of this insurance, the maximum LVR you can borrow is 80%.

Available with principal and interest or interest-only repayments, the loan can be split to also allow you to take advantage of the benefits of a variable interest rate on a portion of your mortgage.

Features of the Teachers Mutual Bank Fixed Option Home Loan

  • Loan amount. The Teachers Mutual Bank Fixed Option Home Loan has a minimum loan amount of $25,000.
  • Maximum LVR. The maximum LVR you can borrow with this loan is 95%, but you’ll need to cover the cost of lender’s mortgage insurance if you want to borrow this much. If your loan amount is less than 80% LVR, however, mortgage insurance is not required.
  • Repayments. Available with principal and interest repayments or interest-only repayments, the Teachers Mutual Bank Fixed Option Home Loan offers the security of consistent repayment amounts.
  • Fix your rate. The maximum period for which you can lock in a fixed interest rate is five years.
  • Offset account. The Teachers Mutual Bank Fixed Option Home Loan features a 100% mortgage offset account. This account is used to offset the loan amount and minimise the interest you need to pay on your loan.
  • Loan split. The Teachers Mutual Bank Fixed Option Home Loan features a loan split option so that you can enjoy the benefits of a variable rate on a portion of your loan.
  • Accessibility. Teachers Mutual Bank allows you to easily and conveniently manage your loan by providing 24/7 access via internet, mobile and phone banking.

Fees

Fees you can avoid

  • Monthly fees: $0. There are no ongoing account-keeping fees on the Teachers Mutual Bank Fixed Option Home Loan.
  • Lender's Mortgage Insurance (LMI): $0. You won’t have to pay any LMI premiums if you borrow less than 80% of the property’s purchase price.
  • Fixed rate lock fee: 0.15% of loan amount. This fee applies if you choose to lock in an interest rate on your Teachers Mutual Bank Fixed Option Home Loan.

Fees you can’t avoid

  • Establishment fee: $600. This fee covers the administrative costs associated with preparing your loan documents.
  • Settlement attendance fee: $150. This charge covers settlement attendance costs.
  • Valuation and administration fee: $250. This fee applies to any additional valuations that are required for your loan.

How to apply for the Teachers Mutual Bank Fixed Option Home Loan?

If the Teachers Mutual Bank Fixed Option Home Loan sounds suitable for your needs and you’d like more details about the loan, click the "Go to site" link on this page. You will be securely redirected to the Teachers Mutual Bank website, where you can read more about the loan’s benefits and choose your preferred contact method. You can then get in touch with a lending representative from the bank to discuss your borrowing needs.

During the application, you’ll need to provide a range of information to the lender, including:

  • Personal details. Your name, contact details and date of birth will be required.
  • Loan purpose. Provide details of what you will be using the funds for.
  • Details of your income. You’ll need to provide information about your income and employment - this will help the lender calculate your capacity to make repayments.
  • Details of expenses. Your ongoing expenses, for example credit card debt or personal loans, will need to be disclosed.
  • Property details. You must provide information about the property you want to purchase.

Teachers Mutual Bank Fixed Option Home Loan offers convenience and security to fixed-rate borrowers. Before you decide whether it’s the right home loan for you, compare several loans on the market.

Teachers Mutual Bank Fixed Option Home Loan Review Interest Rate History vs RBA Cash Rate Graph

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This page was last modified on 11 March 2016 at 9:42.

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Teachers Mutual Bank Fixed Option Home Loan

  • Interest Rate

    N/A

  • Comparison Rate

    N/A

  • App Fee / Annual Service Fee

    $600 / $0

  • Max LVR

    80%

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