How to compare your current home loan

Headline rate, comparison rate, package effect, the three numbers your current lender hopes you don’t add up.

9 min readBy Sarah ChenStage 2 of 6

Your real current rate isn’t the rate on your statement, it’s the rate after offset, package fees, and the discount your bank quietly added when you complained.

Three lines, three rates

Headline rate: what they advertise. Your rate: after discount. Comparison rate: includes most fees, normalised. Bank competitor rate: what they’ll quietly match if you call retention.

WARNING: This comparison rate is true only for the example given and may not include all fees and charges. Different terms, fees, or other loan amounts might result in a different comparison rate. Comparison rates are based on a secured loan of $30,000 over 5 years for vehicle finance and $50,000 over 5 years for equipment finance, as required under the National Credit Code.