Banks and lenders usually offer staff discounts on their loan packages. These can range from interest rate discounts, to the waiving of Lenders Mortgage Insurance (LMI).

However, better offers can often be found by going outside of staff benefits scheme, sometimes at another bank, or even at the same company you work for!

We can usually get you a better deal!

While bank staff used to receive large discounts on mortgage interest rates, many of the perks for bank staff have been cut back in recent years.

These days, the discounts that banks offer their staff is limited to lowering fees or small interest rate discounts.

Waived LMI discounts are great so you should consider them.

At the end of the day though, you can usually achieve the same result with a guarantor home loan and get a better interest rate from another lender.

Waived LMI and interest rate discounts

  • 90% waived LMI: Some of the major banks waive the cost of mortgage insurance when you borrow up to 90% of the property value. LMI usually kicks in at 80% so it’s usually worthwhile applying through your bank.
  • Interest rate discounts: If you’re borrowing under 80% of the property value or don’t have waived LMI, you can get a better deal from another bank.

How big is the bank employee rate discount?

It varies from lender to lender, ranging from 0.5% to 1% off the Standard Variable Rate.

They also offer cheaper rates on their credit cards but, again, it’s not very large at all.

You can call us on 1300 889 743, or enquire online and one of our specialist brokers will talk to you about what the other banks have on offer.

We have a lot of negotiating power with the almost 40 lenders on our panel

Am I eligible for a bank employee home loan?

Generally speaking, you need to meet the following requirements:

  • Working full time.
  • Past probation or a minimum of 12 months in your role.

Why are better deals available elsewhere?

Banks such as ANZ, Commonwealth (CBA), St. George and Westpac, among others, are usually not willing to offer their staff higher discounts than those that they give to the general public.

If the lender that you work for doesn’t have competitive products already then in most cases, their staff discount won’t be competitive either.

The banks will never offer you a product from another competing company. A mortgage broker however, works with many different banks and lenders including the bank that you work for, and will be able to tell you if you’re getting a good deal or not.

How can a mortgage broker find a better deal?

While the banks may give staff discounts on their own products, brokers are able to offer deals from all the lenders they work with. This gives them a greater range of products to choose from, and therefore a better chance of not only finding great deals, but also the most suitable product for your needs.

Some mortgage broking companies also have special partnerships with lenders. In some cases, they will be able to offer their clients better deals from those lenders, than would otherwise be available.

In a few cases, we’ve been able to get bank staff better deals from their own employer than they could get on their own! To find out more enquire online, or call us on 1300 889 743.

How do I know where to apply?

You can research online or go from bank to bank asking them what they can offer, but it might be easier to call an experienced mortgage broker whose job it’s to know the lending policies of different banks and lenders.

Every time you apply for a loan with a lender, a record goes on your credit file. Getting a loan declined will lower your credit score, making it difficult to get your next application approved.

A mortgage broker removes most of this risk by assessing your situation BEFORE applying. We won’t apply with a lender who can’t consider your situation, so you can be confident that your credit history will stay intact.

Our mortgage brokers have access to an extensive panel of lenders with excellent interest rate discounts. Please call us on 1300 889 743 to find out what we can offer you.

Why should I apply with another lender?

There are many reasons why bank employees choose to apply with another lender for their home loan. These can include:

  • Privacy: Other staff may be able to see your personal details in the bank system. While banks have strict rules with regard to privacy, they aren’t always followed.
  • Leaving the bank: In some cases, staff discounts are cancelled if you change your employment. For this reason, many contractors choose to apply with other lenders.
  • Lending policy: In most cases, the banks will still not make exceptions to their lending policy for employees. It makes sense to apply with a bank that caters to someone in your situation.

Please call us on 1300 889 743 and we’ll put you in touch with a one of our mortgage brokers to explain how home loans for bank employees work.

In this way, you can make an informed decision.

Apply through a mortgage broker today!

Home Loan Experts is dedicated to finding our clients a home loan that works best for their needs.

We can pick and choose products from over 40 different banks and lenders, often finding bank employees better mortgage deals.

We look for deals where you can borrow the greatest percentage of the property value, at the most competitive rates, with the best discounts across our panel over more than 30 lenders, including the major banks.

Are you looking for a mortgage and are employed at a bank or lender? We can help! Contact us today and one of our specialist brokers will help you find the best home loan available from our panel. Call 1300 889 743 or enquire online.

  • Mackenzie

    I work in a specialist lender. I want to obtain a mortgage. Is there any special discounts or packages for bank employees?

  • Hi Mackenzie,

    You might be able to get some discount or package if you get a loan with the bank you are employed with. Sometimes, you are better off getting a loan elsewhere as other lenders might be more competitive and better suited to your circumstances.

  • Mackenzie

    Thank you!

  • skye

    Not sure if I should use an online mortgage broker or a regular one closer to my city. I live in Perth so I find it a bit uncomfortable working with brokers all the way in Rhodes!

  • Hey skye,

    Using an online mortgage broker can save you time and offer more convenience, however, it can be easy to make the wrong choice if you don’t do you homework. We have an entire page on using an online mortgage broker and how we as online brokers can and have helped thousands of applicants, including those overseas, get a mortgage successfully through to settlement. You can check out the online mortgage broker page to learn more:

  • brownell

    Are there first home buyer LMI discounts available as well?

  • Hi brownell,

    Select mortgage insurance companies have a 15% discount on their LMI premium for first home buyers. This is only available through the lenders that deal with these specific LMI providers and have negotiated this discount on behalf of their customers. In most cases, your home loan must be for less than $600,000 and your deposit must not be from a borrowed source.

  • Ingram

    How do I find out the amount of FHOG I’m eligible for?

  • Hello Ingram,
    You can do so by simply using the first home owners grant calculator on our website. You’ll also be able to find out if you are eligible for any other government benefits too such as stamp duty exemptions. Here’s the link:

  • Karl

    Will it be possible to have the FHOG be included in my home loan deposit?

  • Yes, this is possible but you’ll typically need 5% to 10% of the purchase price in total as your home loan deposit so normally, it won’t be enough on its own. Note that if you’re building a home, your grant won’t be available until construction commences.

  • Luyolo Mhaka

    Then shouldn’t living the bank affect the duration of the mortgage?

  • Hi Luyolo
    Leaving the bank will usually mean that the discounts get cancelled. However sometimes they forget. Also waived LMI cannot be cancelled as LMI is payable only when the loan is advanced.

  • Ramany

    I work as a security guard at one of the specialist lender and I don’t know much about the products they are offering at the moment. One of my colleagues advised me to get a home loan from another bank because they reckon the bank I work for won’t give me any or only give me a minimal discount on my loan. Is this true?

  • Hi Ramany,
    The banks will never offer you a product from another bank or a lending institution. Also, if the lender that you work for doesn’t have competitive products then, in most cases, you won’t get competitive home loans either.
    We work with many different banks and lenders including the bank that you work for (probably). You could call us on 1300 889 743 or enquire online and we will be able to tell you if you’re getting a good deal or not.