It's time to compare your loan.

Robin & Paul purchased their SMSF property over seven years ago, settling with a major lender. Since then, the major lender has pulled out of SMSF lending and, over time, began charging significantly higher interest rates. Robin & Paul were on 9.72% pa with their current lender, and despite attempts to negotiate a better rate, the lender could not offer any loyalty discounts or competitive options.

We assisted Robin & Paul in exploring refinancing options and successfully secured a new loan, which was 3.38% pa lower than their existing rate. The outcome was significant:

• $852/month interest saving directed toward principal (over $10,224/year)
   
• No monthly account-keeping fees
   
• Simple process with settlement completed within 4 weeks
   

By continuing to pay their usual repayment of $2,384/month, Robin & Paul are now putting the extra $852/month straight into reducing their loan principal. This strategy:

• Reduces the total interest paid over the life of the loan
   
• Shortens their loan term from 20 years to approximately 16.25 years, saving nearly 4 years
   
• Strengthens their SMSF’s long-term growth by keeping more money in the fund
   

This case highlights the importance of reviewing SMSF financing options regularly. Refinancing not only lowered their interest costs but also accelerated their journey to loan freedom, all with a smooth, efficient process.