Overview

flagFounded: 1903

businessOwned by: Customer-owned

monetization_onFunded by: Almost entirely from retail deposits

securityLMI Provider: QBE

account_balanceLender type: Building Society, Customer-Owned

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Newcastle Permanent and Greater Bank have merged together as a “regional powerhouse”.

Newcastle Permanent is the largest building society in Australia and is popular with home buyers in the Hunter and Newcastle regions.

NPBS is actually owned by its customers which means that their profits get returned to you as better interest rates and lower fees. This gives them a distinct advantage over the major banks who are always looking for a way to increase shareholder profits.

Unfortunately, they’re barely known outside of their home region and most mortgage brokers aren’t yet accredited with them.


How do Newcastle Permanent’s home loans compare?

Pros

Cons


Do they lend outside of NSW?

Yes, you can get a loan with Newcastle Permanent even if you’re in other states. We’ve helped people in WA, QLD and VIC without any problems.

That being said, you may find it hard to find a local broker who is accredited with Newcastle Permanent.


What home loans types do they have?

Their Premium Plus Package is better than the professional packages offered by most other lenders as it has good interest rates starting from loans of just $150,000 and tends to have larger discounts for big loan sizes as well. It’s less competitive for loans over $1.5 million where other lenders will negotiate special pricing.

It has pricing tiers from 1 to 4 depending on the size of your loan. However there are often a special offers which puts everyone on the best interest rate no matter your loan size!

Their Real Deal Home Loan has a low rate for the first three years before reverting to a higher interest rate. It’s a basic loan and it doesn’t really compare to NPBS’s Premium Plus Package.

Their Fixed Rate Home Loans are often very competitive for terms of 1 – 5 years. They offer 7 year and 10 year fixed rates but like with many other lenders, the cost of locking in for such a long term usually outweighs the benefits.


Forbes’ List: World’s Best Bank 2021

In its annual survey to find the world’s best banks, Forbes asked 43,000 customers from 28 countries to rate their banks in terms of:

  • Whether they would recommend their bank
  • If they were satisfied with their bank
  • If the bank focused on trust, followed terms and conditions, digital services and customer services and gave financial advice.

The top 10 banks on the list are:

  • ING Group
  • Newcastle Permanent Building Society
  • Greater Bank
  • Heritage Bank
  • Beyond Bank
  • HSBC Holdings
  • Bendigo Bank
  • BankSA
  • Suncorp
  • People’s Choice Credit Union

Tip for applying with Newcastle Permanent

Use Newcastle Permanent’s home loan checklist to prepare for your home loan application.

Note: This is the latest home loan checklist as of November 2017. Please refer to Newcastle Permanent for their most up-to-date document requirements.

Newcastle Permanent client story

Gary & Maria, NSW

Goal

To get a pre-approval with another lender at a cheaper interest rate.

Situation

Building their own home.

Background

Gary and Maria originally got a pre-approval with St George to buy their first home but after much searching they decided they would buy a home and land package instead.

By that time, their pre-approval had expired but instead of reapplying with St George, they felt they could get a better interest rate elsewhere.

Solution

NPM offer very competitive rates for so-called ‘vanilla’ customers (low risk) like Gary and Maria.

With more than 20% of the property value as a deposit (they were borrowing around 77% LVR), a good income and a clear credit history, the couple were able to get approved for their construction loan and at a market-leading interest rate.

Compare NPBS to other lenders

Not sure which lender is right for you? Our Home Loan Experts can help!

Talk to one of our mortgage brokers by calling us on 1300 889 743 or complete our free assessment form.

Why use us?

We aim to set an example by delivering what we promise: a higher level of service, better advice and better home loans.

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Australia-wide services

We finance properties anywhere in Australia for people anywhere in the world.

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Get incredible interest rates

Our relationships with our panel of lenders allow us to negotiate your interest rate.

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We get tough loans approved

We can help you navigate the often complex pre-approval and application process.

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