ING Australia is offering Australian home owners a stunning $3,000 cash back incentive if they choose to refinance with them, as competition between lenders heats up amid record-low interest rates.
The Amsterdam-headquartered bank revealed eligible Aussies who apply to refinance with the bank before the end of September can access the $3,000 cashback offer.
“ING’s $3,000 home loan refinance cashback offer will be available from 1 July 2021 for eligible new refinance applications,” an ING spokesperson told Yahoo Finance.
The deal will apply to any of ING’s home loan products that have a minimum loan of $500,000, and a loan-to-value (LVR) ratio that is 80 per cent or below.
But don’t sit on this one for too long; applications must be received between 1 July and 30 September this year.
And if you're hoping to double or triple the $3,000 sum by adding properties or borrowers on the application, you’re out of luck.
“[Only] one $3,000 refinance cashback per application,” the spokesperson said.
You can only access the deal if you refinance an existing home loan with another lender, and if this is settled by 31 December this year.
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Refinancing could save you thousands amid low interest rates
Australia’s national interest rate is currently at a historical low of 0.1 per cent, after the Reserve Bank made several cuts throughout 2020 in a bid to kickstart the economy after the pandemic hit.
And at the time, Treasurer Josh Frydenberg urged the Big Banks to pass on the cuts to consumers to help keep more money in the pocket.
The lower rates have also caused competition between lenders to heat up; recent statistics from Finder reveal that one in three Australians are intending to refinance their mortgage.
In December last year, the competition watchdog itself urged Australian to refinance, pointing out that borrowers are “missing out on significant savings by not switching”.
“A significant number of Australian home loan borrowers have not switched lenders for several years, yet they stand to save so much money by doing so,” said ACCC chair Rod Sims.
“If you are someone with an older loan, you might be surprised to know that borrowers with new loans are likely walking into the very same lender you have your loan with and getting significantly lower interest rates.”