We're here to help you stay on top of your home loan

ANZ does not automatically reduce your home loan repayment when variable interest rates are reduced. We prefer to leave this decision up to you. We do this because by not automatically reducing your monthly repayment to the minimum repayment amount (for example, when there is a decrease in variable interest rates), you could end up paying less interest over the life of your loan.

So, if you are currently paying more than the minimum repayment amount, you have the option to reduce your repayments to the minimum repayment amount. If you'd like to change your repayment amount, you can do so on ANZ Internet Banking (see instructions). No internet banking access? Register here or call us on 13 13 14 Mon – Fri 8am to 7pm (AEST).

Redraw

If you're on a variable rate home loan and you have been paying more than the minimum repayment amount on your home loan then you may have funds available to you in a redraw facility.^disclaimer Your redraw balance is the amount that you have already paid off on your home loan in excess of the minimum repayments required.

This means you may not need to do anything just yet because when your repayment is due, ANZ will use those extra funds to meet that repayment, meaning you keep up to date with your home loan.

Keep in mind that if you redraw funds, the amount redrawn will be added to your loan balance and interest will be charged on that higher loan balance. There may be ways you can reduce or offset that additional interest. For example, if your loan is eligible, you could move the redrawn funds to an offset account linked to your home loan, (if you have an offset account). If you decide to redraw, you can then transfer these funds to your linked transaction account using ANZ Internet Banking.

Offset

Don’t forget that what is in your offset account is your cash, and it’s easy to access. If you do decide to use the funds in your offset account, the amount of interest that is offset (or reduced) against your total home loan balance will change. This may result in you paying more interest on your loan (than before you accessed the funds in your offset account).

How to check for redraw or offset options

Log onto ANZ Internet Banking to see whether you have redraw (see instructions) or offset funds available. You can see both your redraw balance and the funds available in your linked offset account if you have one. 

No internet banking access? Register here or call us on 13 13 14 Mon – Fri 8am to 7pm (AEST).

Change your repayments to interest only

You may wish to consider applying to switch from principal and interest repayments to interest only repayments for a period of time, if it is suitable for you to do so.  Keep in mind that making this change might increase the total interest you pay over the life of your loan.

Refinance and consolidate any other debts

Consider how much equity you have in your property. If you have enough equity you may be able to consolidate your other debts. 

How to access these options 

Please note for each of these options an application will be required and ANZ's standard credit approval criteria applies.

Please talk to your ANZ Lender or Broker or call us on 1800 100 641 (Mon – Fri 8am to 8pm, Sat – Sun 8am to 6pm AEST) to find out more.

Insurance

You may have insurance that covers you for illness or loss of employment. If you do and you’re eligible to receive payments under that insurance, you could consider using that money to make your loan repayments.

Yes, during the assistance period when we put your repayments on hold, interest continued to be charged on your home loan and will need to be paid back over your remaining loan term. 

This is known as interest capitalisation.

The total amount you owe us therefore increased when repayments were on hold during the assistance period so you may end up paying more interest over the life of the loan.

In order to catch up on the repayments you paused, your repayments will  be adjusted at the end of your assistance period. Your repayments could increase, because you’ll be paying off a higher balance in the same period of time.

If you’re making repayments of principal and interest, you may also have the option to extend your loan term by six months. 

This means you'll have more time to pay off your loan, but the new repayment amount could still be higher than your original repayment. In addition, by extending the loan term you could end up paying more interest over the life of the loan because it is being charged for a longer period. 

If you’re struggling to pay the bills or worried about making your repayments, applying for financial assistance might be the right step.

You might want to apply if you’ve experienced:

• loss of income such as losing your job or experiencing a pay reduction, reduced hours or a downturn in a business
• family matters such as separation, divorce, loss, domestic violence or carer obligations
• financial difficulty such as an unexpected expense arising

Learn more about assistance