Understanding Early Repayment Adjustments

If you have a home loan on a fixed interest rate and decide to end your fixed rate early and move to another rate, repay the loan off early or make a lump sum payment, you may have to break your current fixed interest rate agreement. Before you decide to do this, it’s important to think about the financial implications including something that’s called an Early Repayment Adjustment or ERA.

This is an area that can get complicated, so the following information will explain what an ERA is, take you through the pros and cons of breaking a fixed rate agreement and whether this is the right option for you. Just choose the fact sheet that relates to your home loan to find out more.

If you’re unsure which method your loan is on, refer to your loan terms and conditions or call us. As with any important financial decisions, we encourage you to talk to us about your options. To get an ERA quote or find out more , call us on 0800 100 600.