The pros and cons of going pro
A professional package is a type of loan that caters to people who are borrowing a large amount of money, usually over $250,000.
Overall for people who are looking to get more than just a home loan from their lender, pro packs are a great way to bundle several products together and save.
Check out the current interest rate discounts available from our banks.
What are the advantages of professional packages?
Depending on the bank, professional packages often reduce the standard variable rate by 0.50% to 1.10% and the fixed rates by 0% to 0.25%. Sometimes further discounts to the interest rates are offered in the case of larger loans over $750,000 or $1,000,000.
On top of that, all this is usually accompanied with a reduction from a range of fees associated to the loan. Generally, the application fee will be waived and various miscellaneous fees such as switch fees, extra valuation fees and loan split fees are also waived.
You will also find that most professional packages are equipped with free fee offset accounts which would enable you to reduce the interest you pay even further.
Who should not apply for a professional package?
A professional package may not be the best choice for you if:
- You are borrowing less than $250,000.
- You do not need a range of bank products.
- You do not want to switch to a new bank.
Which lenders have professional packages?
The interest rates and fees that can be offered for a professional package will vary across all lenders, however all the major banks will offer similar features.
Some of the common professional packages are:
- CBA– MAV Package line of credit / MAV standard variable OR Wealth Package
- Rams- Line of credit professional package / Smartway professional package
- Westpac- Premier advantage rocket repay home loan & investment loan
- St George- Advantage home loan package portfolio loan / Advantage home loan package standard variable rate home loan
- Suncorp- Money manager standard variable / Money manager asset line
- ANZ– Professional benefits package standard variable / Breakfree package standard variable
- NAB– Tailored home loan under the choice package
- And many more…
You can view the lowest rates available from our banks on our home loan interest rates page.
What annual fees do I have to pay for a professional package?
The annual fees for a professional package range from $300 to $750 depending on what type of professional package you apply for i.e. a standard home loan package or a private banking package for high net worth borrowers.
The annual fee for a professional package usually covers the following:
- Regardless of how many different loans you have, you only pay for the one annual fee.
- There are no ongoing or hidden fees on your loan.
- Discounts on products such as home insurance, personal insurance and financial planning.
- Most of the account keeping type fees on your transactional accounts can be waived.
- The annual fee on your credit card can also be waived.
Who is a professional package suitable for?
While the name ‘Professional Package’ implies that this type of loan is restricted to professionals alone, and although in the past banks only approved select professionals, this is no longer the case.
You do not need to be a doctor, lawyer or an accountant to get a professional discount. Usually a professional package is best suited for:
- People who are intending to borrow a larger loan amount. For loans greater than $500,000 most lenders can now offer a discount of 0.5% to 0.9% from their standard variable rate.
- People who prefer to apply for a whole package type of loan. This means that there will be an annual fee which would cover all the features that are included in the package. For most people, applying for a professional package would be a smart choice as you would not need to pay a fee for each feature separately.
- Anyone who does not mind changing banks to get the best possible deal.
Apply for a professional package”
Please call us on 1300 889 743 or enquire online if you wish to talk with a mortgage broker who can give you expert advice on professional package discounts.