To be eligible for the Medical Professional Offer customers must be members of one of the selected medical associations and be employed in one of the defined medical professions. A concise list of eligible associations and professions is provided below. To be considered for the discounted professional package customers must meet these eligibility criteria.
The offer is available through a Mortgage Advantage Package (MAV) and is available on a range of products including standard variable rate loans, fixed rate loans, line of credit, 12 month discounted rate and 1 year guaranteed rate loans. To qualify the loan must be principal and interest, interest only loans do not qualify. The maximum loan value is $2 million and low doc loans are excluded from the offer.
Potential customers will need to provide evidence by way of membership with one of the eligible associations. Details of employment in one of the chosen medical professions will also need to be provided when applying. All applications are subject to credit approval.
An example of the savings are $8,290, where the home loan is $450,000 and the purchase price is $500,000, with one of our major bank lender used as an example
Approval is subject to Commonwealth Bank terms and conditions. Contact us today for further information on the CBA Medical Professional Offer and to find out if you qualify.
|· Cardio Thoracic Surgeon|
|· Clinical Pharmacologist|
|· Cosmetic Surgeon|
|· Emergency Surgeon|
|· Gastro Intestinal Surgeon|
|· General Practitioner|
|· General Surgeon|
|· Neuro Surgeon|
|· Oral and Maxillofacial Surgeon|
|· Orthopaedic Surgeon|
|· Orthopaedic Registrars|
|· Paediatric Surgeon (Neonatal/Perinatal)|
|· Plastic Surgeon|
|· Reconstructive Surgeon|
|· Respiratory/Thoracic Surgeon|
|· Vascular Surgeon|
|· Australian Veterinary Business Association|
|· Australian Association of Practice Managers|
|· Australian Veterinary Association (full member)|
|· Australian Dental Association (ADA)|
|· Australian Medical Association (AMA)|
|· Optometrists Association Australia|
|· Urological Society of Australia and New Zealand (USANZ)|
|· The Australasian College of Cosmetic Surgery (ACCS)|
|· Royal Australasian College of Surgeons (RACS)|
|· Royal Australian College of Physicians (RACP)|
|· Royal Australasian College of Dental Surgeons (RACDS)|
|· Australasian College of Dermatologists (ACD)|
|· Australasian College for Emergency Medicine (ACEM)|
|· The Royal Australian College of General Practitioners (RACGP)|
|· The Australia and New Zealand College of Anaesthetists (ANZCA)|
|· Royal Australasian College of Medical Administrators (RACMA)|
|· Royal Australian and New Zealand College of Obstetricians and Gynaecologists (RANZCOG)|
|· Royal Australian and New Zealand College of Ophthalmologists (RANZCO)|
|· Royal College of Pathologists of Australasia (RCPA)|
|· Royal Australian and New Zealand College of Psychiatrists (RANZCP)|
|· The Royal Australian and New Zealand College of Radiologists (RANZCR)|
|· Australian College of Rural and Remote Medicine (ACRRM)|
|· College of Intensive Care Medicine of Australia and New Zealand (CICM)|
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Why Round Up My Payments
Round your payment up to the next large number. Paying extra each month will help you get your debt paid off sooner.The amount you pay over and above your minimum monthly payment is applied directly to the principal balanceof your loan. Again, this technique lowers your total loan amount, which in turn reduces the amount of interest you'd be paying on your loans.
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Why Make Extra “Lump-Sum” payments?
When you receive additional income or funds, consider using them to pay down your loan or mortgage. Taking this action will pay you big dividends in the future. Additional funds can be found when you get a bonus at work, receive a tax refund, or luck upon some unexpected money. All extra money that you pay on a loan or mortgage goes straight to paying down your principal balance. As long as your payments are up to date, no part of your extra payment will ever go to interest. This is because your regular monthly payments pay the interest. Anything extra that you pay goes straight to reducing your loan or mortgage balance. This gets your loan paid off sooner and saves on the interest sum you would normally pay the bank.
Why Is The Principal Not Decreasing?
This is best explained by the linear amortization curve. Throughout the life of your loan the percentage of the payments apportioned to interest and principal changes. Because a larger amount is owed at the beginning of the life of your loan you pay more interest with each payment made. As the debt diminishes more of your payment funds are going toward paying off the principal so the balance reduces faster as time elapses. As payments remain the same the percentage apportioned to the principal or interest changes over time creating a linear amortization principal and interest curve that is clearly identified on our calculator: http://www.wilsonfinancial.com.au/calculators.html
So don’t be disillusioned, the biggest changes will start to appear one third of the way through your mortgages term, and at the half way mark you really see the balance decrease much quicker.
What Is The Benefit Of A 100% Offset Account?
A 100% Offset account will further reduce your loan term and interest payable on your loan. An average $10,000 banked in an offset account will provide savings of approximately $560 per year. This same $10,000 maintained in a standard savings account earning 5% interest will earn $500 but will be taxed at the marginal tax rate of around 30 cents in the dollar so the net return is equal to around $350 per year. By using an offset account and not ‘earning’ interest but rather ‘saving’ interest you can avoid paying tax unnecessarily and benefit your bottom line by around $260 per year. Offset accounts provide an extremely useful means of making unused funds work for you and can be just as effective as making extra payments. Discover more in this related article:
Last month I wrote about equity, and some people have since asked, “How can I figure out my equity position, if I don’t know what the value of my home is?”
That’s a really good question; value is something that seems to change depending on who you’re asking. Ask the home owner, and the value is optimistic, ask the bank valuer and we get a more realistic figure, or sometimes pessimistic figure to suit a firesale. A real estate agent may give you a value somewhere between the two, and the sale price they actually achieve is essentially the current value on the market.
From my point of view, there is not much I can do with an owner’s estimate aside from some very general/broad estimates on LMI, equity and rates. Even a real estate appraisal is not going to assist when we apply for the loan because the bank will use it's own modelled estimate, kerbside valuation or full short form valuation. The best thing you can do is be prepared with comparable sales within your area, in the last six months, for similiar properties. Please note, a 'listing' is not a sale price, and often presents an inflated value, banks and valuers do not adpot listing prices as guide on real value ever, full stop, only valid sales that have settled can be used.
It gets more interesting though, bank valuations can differ also depending on what panel valuer was used, and there are many in each area, independently working for the banks., depending on what firm they use and what research they have undertaken. Sometimes we speak to valuers about recent comparable sales data that they may not be aware of that they can use to give us a better valuation. The interesting point I want to make though, is that I have clients that come to me not just for a good rate – but for a better valuation! For one client I have, we undertook two valuations before we decided on the lender, because the valuation at lender number two, was higher, and meant the difference between approval and decline. As always, it’s important to be one hundred percent transparent with clients and give them the information and options so they are fully informed of the process.
Liz Wilson has been working in finance for nineteen years now. She regularly blogs on industry topics and here you will find over a hundred personally written blog topics and case studies...