• Standard variable rate loans (SVR)

Most advertised loan rates refer to this type of loan.

The loan term is usually 30 years. The interest rate varies with market fluctuations. The interest rate is often referred to as SVR (Standard Variable Rate). Obviously with a variable loan it will be beneficial if interest rates fall and unfavorable if interest rates rise, however the flexibility and features make this type of loan popular.

• Basic variable loans

The Basic Variable loan is as it sounds – basic. It usually has no monthly account keeping fee and offers a lower interest rate than most standard variable or fixed rate loan products.

• Fixed rate loans

Fixed rate loans are those where the interest rate is fixed for a specific period of time. This means the repayments are also fixed at a determined amount for the same time frame. There are a number of time periods over which you can fix the rate: 1, 2, 3, 4, 5 years or even up to 15 years with some lenders.

Once the fixed term period ends the loan will automatically return to a variable rate or the borrower has the option of fixing the rate for another period of time.

• Packaged loans

Lenders offer the ability to get a discount off the standard variable rate if a client opts to take up a package with them.

Discounts are also available on fees such as switch fees, additional loans, additional valuations on security properties, credit card fees and transaction account fees. There may also be discounts on other products such as insurance, personal loans and financial advice.

• Combination (split) loans

A combination loan is where a loan is split into more than one loan account. This combination may contain different types of loans. Commonly a client may decide to have a portion of their loan as variable and a portion fixed or perhaps a Line of Credit. This is called a split.

• Lo Doc Loans

Lo Doc Loans are for those self-employed clients that cannot provide recent tax returns.

• Line of credit (All-In- One)

A line of credit is a pre-approved loan using the available equity in an owner occupied home or investment property.

• Bridging Loan

Bridging loans are available for clients that want to or have bought a new home prior to selling their existing home. Without the proceeds from the sale of the existing property, there is a financial gap to cover.

Clients in these circumstances can apply for a bridging loan. This enables clients to finance the purchase of their new home before selling their existing property. The loan is secured by both the existing property and the new property.

• Personal Loan

Personal loans are loans used for a wide variety of purposes e.g. a new or used car or motorcycle, holidays or travel, debt consolidation such as combining multiple credit cards or other debts into one loan, to pay for education including school or university fees, household goods, furniture or home improvements and lifestyle items such as pool, boat, stereo or jet ski.

• Investment Loan

An investment loan is a loan used to fund an investment purchase such as a property to be rented out .

A client can use their owner occupied home as security for an investment loan as long as they have equity in their home.

• Business Loan

Like an Investment loan the business loan can be secured against a property as long as there is available equity. A business loan will cover lending for a business related purpose such as the purchase of new plant and equipment for example.