Home loan offset calculator – Use the Atomic Home Loans Home Loan offset calculator to find out how much time and interest you could save on your home loan with an offset account.
An offset account is a transaction account which is tied into your loan account. Any money that sits in your offset account serves to reduce the daily loan balance.
Given interest is accrued daily and paid monthly, having a smaller daily loan balance due to the use of an offset account will mean that ultimately you pay less interest.
An offset account also allows you to these funds as it is a daily transaction account.
Using this Home Loan offset calculator will allow you to calculate how much time and money you can save by keeping a certain amount of funds in your home loan offset account.
To begin using the calculator, enter your loan amount, interest rate, loan term and repayment frequency,
You can then enter your Home loan offset account balance. It is worth noting that this offset account balance should your average balance, in order to get a more accurate indication of your savings.
The results will show you your interest saved, the time saved, as well as your revised loan term.
Keep in mind that this home loan offset calculator doesn’t account for any annual fees or account keeping fees.
Interestingly, if you are paying a $395 annual package fee so you can utilize an offset account, you will need an average daily balance in your home loan offset account of $10,000 just to cover the cost of the annual fee.
If you require some more assistance or would like a more detailed explanation on how the this home loan offset calculator works, contact an expert from Atomic Home Loans by calling (02) 9188 8834 or by leaving us a message on our contact us page so one of our experts can get in touch with you.See All Calculators