If the Reserve Bank reduces interest rates you could save money on your home loan.
But do you need to contact your bank to check on the status of your loan?
Generally speaking, you don’t have to take any action, as any rate reduction will automatically be applied, explains Raj Ladher, home loan specialist with Your Mortgage Broker.
If rates reduce by 0.25% and this reduces your loan repayment by $20 per week, then that reduction will be communicated to you by your bank or lender, without you having to make a request or contact them.
Learn more in the video above with Raj Ladher, home loan specialist with Your Mortgage Broker.