FAQs - Premium Loan

We have provided a list of commonly asked questions to help you stay informed and in control of your loan options.

1) I thought Adelaide Bank had passed on the full rate discount.

Yes, you're absolutely right—Adelaide Bank has passed on the full rate discount, and this is clearly advertised on their website. However, it's important to understand that Adelaide Bank, like Bendigo Bank, operates through a number of different distribution channels. Unfortunately, they have decided not to pass on the full 25-point rate discount across all their partner channels, which includes up to 30 different businesses.

We completely understand how frustrating this is, and we share your disappointment. Like most banks, they will take any opportunity to increase margin, especially in a falling interest rate environment. We anticipate that other banks may follow a similar path in the coming months, choosing to pass on only part of the rate reduction. This time, it just happens to be Adelaide Bank.

That said, our focus is on what we can control—and to see this as an opportunity to explore the broader market, and determine whether there’s a more suitable or competitive solution available to you right now. If the numbers make sense to you, not us, we’ll be more than happy to present those options and guide you through the next steps with clarity and confidence.

2) What happens if I can’t leave this bank because I don’t qualify for another loan?

We understand that this situation can be challenging. Rest assured, we will continue to seek pricing reductions on your behalf and ensure your loan remains competitive.

Although it’s disappointing that the full 25 basis point reduction wasn’t passed on this time, it is important to note that your loan facility is competitive, and we commit to aiming to keep it so.

We also want to make sure you are ready to act when your options open up so as part of our review of your current position what changes to interest rate and income need to take place to qualify for options that may be more competitive.  

3) What is the process if I want to explore refinancing options?

We’ll need 15 minutes of your time to gather some basic information and understand your goals and any other considerations.

We’ll then send you a link to our secure portal so you can update your existing information. As an existing client, we already have most of your data, so updating it won’t take long.

We’ll request the necessary supporting documents and conduct a full market assessment. You’ll receive a cost-benefit analysis to determine whether refinancing is worthwhile. The process is quick and simple for existing clients.

4) Why hasn’t the bank passed on the full rate reduction?

It’s a great question. Banks often take the opportunity to claw back margin during interest rate reduction cycles.

It’s a disappointing decision.

What we are conscious of and experience has taught us is that while banks will make decisions on rates at different times, over the course of a rate cycle the difference they end up moving in comparison to each other is rarely more than 0.10%.

While Adelaide Bank may be among one of the first ones to not pass on the full cut to existing clients it may be different in July when it’s anticipated the cash rate may again be reduced.

We remain committed to providing the right advice to you that will help you achieve your short and long term goals and if that is to refinance your current loan then that is what we will be recommending.

5) How can I ensure my loan remains competitive in the future?

We will continue to monitor the market and seek pricing discounts on your behalf. Our goal is to ensure your loan remains competitive at all times.

If new opportunities arise, we’ll inform you and provide the best available options.

6) What should I do if I receive conflicting information from different bank channels?

If you receive conflicting information, contact us immediately. We’ll verify the details and ensure you have accurate information to make informed decisions.

7) Can I switch banks if I find a better rate elsewhere?

Yes, you absolutely can—and that’s exactly what we’re here for. Our role is to help you make informed decisions about your lending options, and if you can reduce the interest you pay on your mortgage through refinancing elsewhere and it makes sense to change, we’ll support you every step of the way.

We’ll assist you with the refinancing process to ensure a smooth and stress-free transition. As part of that, we’ll provide a detailed cost-benefit analysis so you can clearly see whether switching is the right move for your circumstances.

8) How long does the refinancing process take?

Between  4 - 5 weeks depending on loan complexity and documentation. As an existing client, the process is faster since we already have most of your information. We’ll keep you updated throughout.

9) What happens if interest rates continue to decrease?

If rates continue to fall, we’ll continue to monitor where your current loan sits with the rest of the market and where it is in your best interest to consider refinancing, that is what  we will recommend that. We will not recommend a refinance if the benefit to you is outweighed by the cost.