Keep up to date with rates
Complacency is a bank's best friend. Banks count on a certain amount of borrowers simply never questioning their interest rate, or asking for a discount. While you may get a great deal when you first take out a loan, as time passes and rates change, this may no longer be the case.
While your broker will usually contact you when they think it may be time for you to re-evaluate your finances, it's always worthwhile to keep your eye on the news and any correspondence from your lender.
Make sure your home loan suits your needs
Not all loan products are created equal. Changes in finances, as well as your personal life, can mean that the current set up of you home loan is no longer offering you the greatest benefits.
For instance, having an offset account linked to your loan will most likely attract a monthly fee. If you have a significant amount of savings in this account then it's well worth your while. However, if you're not using it, you could be paying for nothing.
If you think you may have outgrown your home loan, then it's time to have a chat with your broker.
Find more ways to save
A lower interest rate isn't the only way to save money from the cost of your loan.
Monthly account fees don't seem like a lot, but over the life of a loan they can certainly add up. This especially applies when you consider that you could have paid these amounts off the principal.
Another way to save is to have an offset account. With deposit accounts currently paying out low interest, it's often the better choice to pay any savings off your mortgage, or achieve the same benefit with an offset account, while still maintaining access to your money.
Have your broker do the hard work
Why spend your time haggling with your bank when you can have your broker go in to bat on your behalf? With your needs in mind, your broker can save you time and ensure you get the best loan product for your needs.
Get a better deal elsewhere
If your bank refuses to give you a competitive interest rate, then it's worth considering moving your loan.
Unfortunately, banks offer better deals to new customers than they do to existing clients. When you sign up with a new institution, you are likely to benefit from all kinds of discounts on your rate as well as account fees and charges, especially when you have someone on your side who knows what a lender will and won’t do to get your business.
If you think you could be saving money on your home loan, the best course of action is to have a conversation with your mortgage broker who can act on your behalf to make sure you're taken care of. ;