Teachers Mutual Bank Flexi Choice Home Loan Review

Rates and Fees verified correct on December 10th, 2016

Get a competitive variable rate and a host of flexible features with a Flexi Choice Home Loan from Teachers Mutual Bank.

The Teachers Mutual Bank Flexi Choice Home Loan has a wide range of flexible features to suit your requirements even as your needs change. Available with Teachers Mutual Bank’s standard variable rate, the loan allows you to make unlimited additional repayments at any time and does not charge any fee if you pay your loan off early.

There are no other ongoing account-keeping fees to worry about, while a 100% offset account is included so that you can minimise the interest repayments on your mortgage. A fee-free redraw facility is also available and your funds can be managed 24/7 via internet, mobile and phone banking.

Product NameTeachers Mutual Bank Flexi Choice Home Loan
Interest Rate TypeVariable
Interest Rate (p.a.)5.11%
Comp Rate^ (p.a.)5.16%
Minimum Loan Amount$25,000
Maximum Loan Amount$5,000,000
Minimum Loan Term0.5 years
Maximum Loan Term30 years
Maximum LVR80%
Maximum Insured LVR95%
Mortgage Offset AccountYes
Mortgage 100% OffsetYes
Loan Redraw FacilityYes
Split Loan FacilityYes
Fixed Interest OptionNo
Loan PortableYes
Suitable for InvestmentYes
Extra RepaymentYes
Available as equity loan/line of creditNo
Repayment TypePrincipal & Interest
Application Fee$600
Valuation Fee$250
Ongoing Fees$0 p.a.
Settlement Fee$150

Pros

  • Fee free unlimited extra repayments and redraws to redraw extra repayments made into the loan.
  • Ability to pause repayments if your circumstances change.
  • $0 ongoing account keeping fees.
  • 100% offset account attached.

Cons

  • $600 application fee.
  • Settlement fee of $150.
  • Not available for the purchase of an investment property.

Things to consider about the Teachers Mutual Bank Flexi Choice Home Loan

The Teachers Mutual Bank Flexi Choice Home Loan can be used for a wide range of purposes: owner occupied purchases, buying vacant land, financing renovations or providing funding for any other approved purpose. If you are looking at this loan for the purchase of an investment property there is a maximum loan-to-value ratio of 70%.

Additional repayments are allowed on the loan at any time and can also be accessed through a fee-free redraw facility.

Features of the Teachers Mutual Bank Flexi Choice Home Loan

  • Loan amount. The Teachers Mutual Bank Flexi Choice Home Loan is suitable for loan amounts of $25,000 or more.
  • Maximum loan-to-value ratio(LVR). With the Teachers Mutual Bank Flexi Choice Home Loan, the maximum LVR you can borrow is 95%. If you borrow more than 80% of the purchase price of the property you will also need to budget for the additional cost of mortgage repayment insurance.
  • Repayments. Available with principal and interest repayments only, this loan allows you to make unlimited additional repayments towards your debt. You can also repay your loan ahead of schedule without incurring any additional fees.
  • Redraw facility. If you ever want to access the additional repayments you make on your mortgage, you can do so for free using the loan’s redraw facility.
  • Offset account. The Teachers Mutual Bank Flexi Choice Home Loan comes with a 100% offset account. This linked account reduces the amount of interest you need to pay towards your mortgage, helping you pay the loan off sooner.
  • Loan term. This loan is available with a maximum term of 30 years.
  • Loan split. The Teachers Mutual Bank Flexi Choice Home Loan features a loan split option to give you the freedom of taking advantage of both fixed and variable interest rates.
  • Repayment pause. If you endure a period of financial hardship and are struggling to make your loan repayments, Teachers Mutual Bank offers a repayment pause option. This allows you to stop making loan repayments for a fixed period while you get your finances back in order.
  • Accessibility. Teachers Mutual Bank offers 24/7 access to your Flexi Choice Home Loan via internet, mobile and phone banking.

Fees

Fees you can avoid

  • Monthly fees: $0. There are no ongoing account-keeping fees to worry about.
  • Additional repayment fee: $0. You can make unlimited additional repayments towards your loan whenever you like.
  • Early repayment fee: $0. Paying your loan off ahead of schedule will not lead you to be charged any fees.
  • Redraw fee: $0. Teachers Mutual Bank offers a fee-free redraw facility to allow you to access your additional repayments.

Fees you can’t avoid

  • Establishment fee: $600. This fee covers the administrative costs associated with setting up your loan.
  • Settlement attendance fee: $150. You’ll need to factor this fee into your budget when calculating the cost of borrowing.
  • Top-up fee: $300. This fee applies when you top up your loan.
  • Valuation and administration fee. $250. This fee applies to additional valuations that are required for your Teachers Mutual Bank Flexi Choice Home Loan.

How to apply for the Teachers Mutual Bank Flexi Choice Home Loan?

If you’d like to find out more information about the Teachers Mutual Bank Flexi Choice Home Loan, click the “Go to site” link on this page to be securely redirected to the Teachers Mutual Bank website. From there, get in touch with the bank via your preferred contact method to find out whether you’re eligible for this loan and whether it satisfies all your borrowing requirements.

During the application, you’ll need to supply:

  • Personal details. These include your name, date of birth and contact information.
  • Loan purpose. You’ll need to specify what you want to use the loan amount for.
  • Details of your income. Teachers Mutual Bank will need to know your employment details and how much income you earn.
  • Details of your expenses. Provide details of your ongoing expenses, for example credit card debt, to help the lender determine your ability to make repayments.
  • Property details. Teachers Mutual Bank will also need information about the property you plan to purchase (if applicable).

The Teachers Mutual Bank Flexi Choice Home Loan is well worth considering if you’re in the market for a flexible mortgage solution. Compare it with other loan options to find the best home loan for your needs.

Teachers Mutual Bank Flexi Choice Home Loan Review Interest Rate History vs RBA Cash Rate Graph

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This page was last modified on 5 May 2016 at 12:56.

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Teachers Mutual Bank Flexi Choice Home Loan

  • Interest Rate

    5.11% p.a.

  • Comparison Rate

    5.16% p.a.

  • App Fee / Annual Service Fee

    $600 / $0

  • Max LVR

    80%

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