Home Loan Application Process

  How do I apply for a home loan?

We will accept your application by telephone, online or in person at one of our branches. Our Home Loan Application Checklist and Guide can help you through every step of the process. For more information view our Home Loan Application Process Page. 

  How long will it take for my home loan application to be approved?

Once you've submitted your application and supporting information, conditional approval is usually obtained within 48 hours, subject to satisfactory credit checks and verification of financial and property information. Your Home Loan Specialist can provide more information about approving your loan.

  Will someone need to inspect my property to establish its value?

Perhaps. Depending on the specific attributes of your loan application, Qudos Banks may need to have your home valued before loan approval. For more information regarding our home loan application process, visit our Home Loan Application Process page.

Qantas Points Home Loan

  How soon after my loan starts will I receive my Qantas Points?

Once your loan is funded, your points are calculated at the end of each month and are generally credited to your Qantas Frequent Flyer account within 4 weeks.

  What are some of the rewards I can get with the Qantas Points earned?

Qantas points can be redeemed on a huge range of items. Spend your Qantas Points on flights and hotels to enjoy more travel for you and your family or be rewarded with a range of products available in the Qantas Store.

Construction Loan

  How does a construction loan differ from a home loan?

Unlike home loans, which you typically receive the whole loan amount at settlement, construction loans allows funds to be drawn in stages, as you receive progress payment requests from your builder and tradespeople.

  What is a construction loan?

A construction loan is a loan that allows you to build or renovate your home with progress payments provided to your builder once each stage of the project is completed.

  Do you have to put a deposit on a building contract?

Builders will often require a deposit before plans are drawn up and/or building work commences. Please speak to your builder as these requirements vary from builder to builder.

  How long do you have to build with a construction loan?

The loan will allow up to 12 months to complete construction.

Fixed and Variable Loans

  What is a fixed rate home loan?

A fixed-rate home loan locks in a specific interest rate for your home loan for a specified amount of time.

  What is the maximum term I can fix my rate for?

The maximum term that Qudos Bank offers for fixed rate home loans is 5 years. We offer fixed rate home loans between 1-5 years.

  Can I re-fix my loan at the end of a fixed rate term?

Potentially yes. Prior to the expiry of your loan we will write to you to get in contact with us to discuss your options.

  Are offset accounts available on fixed rate loans?

No, unfortunately offset accounts are not available on fixed rate loans. However, we offer 100% multiple offset accounts on many of our other competitive home loans.

  What is a variable rate home loan?

Unlike a fixed-rate home loan which locks in a certain interest rate, a variable home loan is a home loan on which the interest can vary, and fluctuate up and down.

  Can I split my home loan between variable rate products?

Yes, we offer the option for you to divide your home loan into multiple accounts across different variable rate products so you can access the different loan features in the way that suits you.

  Can I switch to a fixed rate home loan from a variable loan?

Yes. You can switch from a variable rate loan to a fixed rate loan at any time so long as the loan amount and structure of your loan does not change.

Packaged Home Loan

  What is a package home loan?

A package home loan is a home loan that combines your home loan with a host of other products and features into one bundle. This package combines our Low Cost Home Loan with a range of financial benefits and discounts so you can enjoy benefits such as a Personal Loan application fee waiver, Overdraft application fee waiver and a Platinum credit card annual waiver fee.

Home Loan Repayments

  Difference between principal and interest and interest only?

Most Qudos Bank Home Loans offer two repayments types, these are:

  • Principal and Interest
  • Interest Only*

The difference between the two is that principal and interest repayments mean you will be paying down your principal balance (as well as interest it accrues) from your first repayment. Whereas, with interest-only repayments, the principal balance will not be reduced and interest continues to be calculated during this period.

*Interest only subject to approval. During an interest only period, your interest only payments will not reduce your loan balance. This may mean you pay more interest over the life of the loan.

  Can I pay out my home loan at any time?

All loans can be paid out at any time. Variable rate loans can be done so by paying out the discharge balance. Fixed rate loans may attract break costs if you are paying the loan out within the fixed rate period.

  How often do I make a loan repayment?

Depending on the home loan selected repayments can be made monthly, fortnightly or weekly. Interest-only repayments must be made monthly. The ability to make additional payments will also be dependant on the type of loan you have. Loans that have variable rates can have additional payments made at any time. For loans with Fixed rates, you can pay up to $10,000 per year without incurring break costs.

  How do I access additional repayments I have made?

[Variable only] You can access the repayment you have made over and above your regular required repayments at any time by Online Banking or the Mobile app.

  Can I make additional repayments on my home loan?

[Fixed Rate Loans] Yes, you can make additional repayments on your fixed-rate home loan of up to $10,000 a year without incurring break costs. For payments, greater than $10,000 per year break costs may be payable.

[Variable Rate Loans] Yes, you can make unlimited additional repayments on Qudos Bank's variable interest home loans.Use our Extra Repayments Calculator to help you better manage your loan.

Home Loan Fees and Charges

  Is there a fee to redraw?

Qudos Bank has $0 redraw fee on all home loans where redraw is available.

  Is there a fee if I repay a fixed rate loan before the end of the fixed rate term?

Repaying a fixed rate loan early may result in incurring break costs. Please call us so we can discuss your options with you.

  Are there any loan discharge fees?

Yes, Qudos Bank's home loans feature a discharge fee of up to $275.

General Home Loan Frequently Asked Questions

  How much can I borrow?

To find out your borrowing power. Simply, fill out this form and a Qudos Bank representative will reach out with more information.

  What is an offset account?

Offset accounts work as a transaction account linked to your home loan. The money in that account ‘offsets’ daily against the balance of your loan. So, it reduces the interest you need to pay because interest is only charged on your net balance (i.e. your overall loan balance minus your offset account balance). In other words, the loan ‘thinks’ you've paid that money off your loan already, reducing the interest charged accordingly. Qudos Bank offers multiple offset accounts on most home loans, check with your lending specialist.

  What is the maximum number of offset accounts I can have?

Qudos Bank offers unlimited free multiple offset accounts on applicable loans.

  Can I split my home loan?

A split rate home loan, also known as a split mortgage, allows you to divide your home loan into multiple accounts, each of which has different interest rates and features. The most common way to set this up is to have a portion of the loan at a fixed interest rate, while the remainder has a variable interest rate. Read more about split home loans in our blog.

  What is the maximum number of split loans I can have?

Qudos does not impose a maximum limit, however there are minimum loan amounts that may apply.

  What is home loan redraw?

A redraw facility allows you to take back the extra payments you have made on your loan account. For example, your minimum monthly loan repayments are $3,000. If you pay $3,200 each month for a period of 6 months you'll have paid an additional $1,200 on top of your minimum repayments. The redraw facility allows you to access that extra $1,200 if required.

  Is there a minimum redraw amount?

No, there is no minimum redraw amount for redraw transactions completed via Online Banking or the Mobile App.

  How does Qudos Bank calculate interest?

Our loan interest calculation method allows for up to ten decimal places in rounding the daily interest rate.

Example 1:

  • $500,000 home loan with interest only repayments and an annual percentage rate of 3.99% p.a.
  • Daily percentage rate rounded to 10 decimal places = ((3.99%/365)/100)
  • Daily interest charge = $500,000 x 0.0001093151 = $54.66 per day
  • Monthly interest charge = $500,000 x 0.0001093151 x 31 days = $1,694.38*
    *Assuming the daily balance outstanding is $500,000 over a 31 day month

Example 2

  • $500,000 home loan with interest only repayments and an annual percentage rate of 3.79% p.a.
  • Daily percentage rate rounded to 10 decimal places = ((3.79%/365)/100)
  • Daily interest charge = $500,000 x 0.0001038356 = $51.92 per day
  • Monthly interest charge = $500,000 x 0.0001038356 x 31 days = $1,609.52*
    *Assuming the daily balance outstanding is $500,000 over a 31 day month
  What is a comparison rate?

A comparison rate is a rate is the interest rate plus most fees and charges relating to a loan. The comparison rate helps you work out the true cost of a loan and allows you to compare loans from different lenders to find out how much it will cost you.

  Can I borrow the Lenders Mortgage Insurance (LMI) premium or do I need to pay for it upfront?

Lenders Mortgage Insurance (LMI) is deducted from your loan proceeds. To assist borrowers Qudos Bank, in some cases, may allow you to add the premium to your loan amount and repay it with your home loan repayments.

  What is Lenders Mortgage Insurance (LMI) and when is it required?

Lenders Mortgage Insurance (LMI) protects the lender if you default on your home loan. In these circumstances, the lender may need to sell your property to recover the cost. Should the sale of your home not cover the outstanding amount owing to your lender, this is known as a 'shortfall'. LMI is not designed to protect you as the borrower, but rather its purpose is to protect lenders in case of a shortfall, and allows the lender to lend the borrower an amount higher than the lender would otherwise be able to provide. A typical scenario is being able to borrow more than 80% for a standard metro residential property (subject to approval).

  What is the maximum interest only term?

The interest only term will depend on your circumstances. 5 years is the maximum we will allow; after which the interest rate will revert to the applicable variable principal and interest rate.

  Do I have the option to extend my interest only term?

In some cases, we may agree to extend your interest only term when your loan nears the interest only expiry date. This will depend on your circumstances and will be subject to assessment.

  Can I borrow additional funds without going through the full application process?

No. All applications for additional funds are assessed and are subject to lending criteria, and associated terms and conditions.


Can't find what you're looking for? Please contact us on 1300 747 747.