Your 100% Offset Redraw Account account is a fully transactional account.

What is a 100% offset re-draw account?

Your 100% Offset Redraw Account account is a fully transactional account.

Your entire income (salaries, rents, and other monies) are paid into your 100% Offset Redraw Account instead of making extra payments into your home loan.

You retain immediate access to your funds.
Living expenses can be withdrawn from this account, BUT pay as many of your day-to-day living expenses and purchases as possible with a credit card.

Leave your salary in your account for as long as possible. This maximises the length of time your funds are generating your 100% Offset Redraw Account benefit.

The interest is calculated on a daily basis!!! (Charged monthly in arrears).

Example of Redraw Account

100% Offset Redraw Account

  • 20 FREE phone (IVR) & internet, transactions per month (combination of)
  • Up to 4 multiple splits FREE at time of loan application
  • No monthly or annual on-going fees

All interest rates, fees, charges, terms & conditions quoted are indicative only and subject to change without notice.

Setting up a 100% Offset Redraw account

All variable rate loans are set up with a 100% Offset Redraw account
Two accounts are created:

  1. The “L Account” (the loan account)
  2. The “S Account” (the redraw account)
    This is a sub-account of the loan, not a separate facility.
    This is the transactional account.
    The debit card is only attached to the S Account.

Salary Crediting

Salary is deposited into the S Account.
The minimum payment is taken as an internal direct debit from the S Account to pay the L Account.
This allows additional funds to be accessible for redraw at anytime.

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Direct Debiting

A. Minimum Monthly Payment
The Direct Debit will be set up against the L Account because there are no additional funds available to redraw from the S Account.

B. Fixed Monthly Amount >Minimum
This is set up exactly the same as salary crediting.
Funds are deposited into the S Account and the minimum payment is taken as an internal direct debit from the L Account to pay the S Account.
This allows additional funds to be accessible for redraw at anytime.

If you’d like to talk to one of our experienced home loan consultants to assess what your finance options are,