Weekly & fortnightly repayments

What's changed?

From 16 February 2018, we’ve enhanced the way we calculate weekly and fortnightly direct debit repayments set up by CommBank.

How it works

Samantha has a loan with a monthly minimum repayment of $1000 due on the 19th of every month. Here's what her repayments will look like:

 

Weekly

Before: $1000 ÷ 4 = $250

After:  ($1000 x 12) ÷ 52 = $231

 

Fortnightly

Before: $1000 ÷ 2 = $500

After: ($1000 x 12) ÷ 26 = $462 

What it means for you

  • If you’re paying more than the minimum repayment amount by direct debit we won’t automatically reduce your repayment 
  • If you're paying the minimum repayment amount by direct debit we’ll reduce this repayment automatically for you. If you don't want this adjusted because you want to repay your loan sooner, simply increase your direct debit by at least $1 above the minimum repayment
  • These changes apply if you have a variable or fixed-rate principal and interest home loan, investment loan or personal loan and pay by a direct debit set up by CommBank

You can view your current repayment arrangements, including your minimum amount, or change your repayments at any time in NetBank.

To set up direct debit, call us on 13 2224 for home loans, 13 1431 for personal loans or visit your nearest branch.

Manage in NetBank

Rate changes & additional repayments

What's changing?

From 31 July 2018, your minimum required repayment amount may be adjusted when:

  • Your interest rate is reduced
  • You make an additional repayment

How it works

Tim’s loan has a minimum monthly repayment amount of $580. He makes an additional repayment of $5000. Soon after this, his minimum repayment amount is recalculated to $440.  

What it means for you

  • You will be able to see your new minimum repayment amount in NetBank
  • You can choose to reduce your repayment to this amount if you wish to in NetBank
  • These changes apply if you have a variable rate principal and interest home loan, investment loan or personal loan

You can view your current repayment arrangements, including your minimum amount, or change your repayments at any time in NetBank.

To set up direct debit, call us on 13 2224 for home loans, 13 1431 for personal loans or visit your nearest branch.

Manage in NetBank

Redraw available each month

What's changed?

From 16 February 2018, so that your next repayment is always covered, your redraw balance won’t include any repayments made towards your next monthly minimum repayment amount.

For personal loans we're also removing the $500 minimum for redraws, so you can access the exact amount you need.

How it works

David has a loan with a redraw facility. His required monthly repayment amount is $700 and is due on the 1st of each month.

He will only be able to access funds once he has made repayments up to $700 – so, for example, if he made a repayment of $750 he could only redraw $50 in that monthly repayment period.

What it means for you

These changes apply if you have a variable rate principal and interest home loan, investment loan or personal loan.

You can find out how much you have available for redraw at any time in NetBank and the CommBank app.

Manage in NetBank

Redraw over the life of your loan

What's changing?

From 1 September 2018, the redraw balance on your loan will now gradually reduce in line with the remaining life of your loan.

This ensures you will pay off your loan by the end of your agreed loan term.

How it works

The rate at which your redraw balance will reduce is dependant on a number of factors and is different for every customer.

See example

What it means for you

  • These changes apply if you have a variable rate principal and interest home loan, investment loan or personal loan
  • If you have a home loan and you’re currently using a redraw facility to deposit money that you plan on using later, an offset account may better suit your needs 
  • Please note that withdrawing from your available redraw, including transfers to an offset account, may cause your repayment amounts to increase

You can find out how much you have available for redraw at any time in NetBank and the CommBank app.

Manage in NetBank

FAQs

Why are you making these changes?

Our customers have told us they’d like greater flexibility and control in managing their home and personal loan repayments. So we've introduced these changes to offer you that flexibility and support as you pay off your loan.

How can I change my direct debit amount?

You can change your direct debit arrangement any time before or after the repayment changes take effect: 

  • For home loans you can do this in NetBank or the CommBank app or by calling 13 2224
  • For personal loans you can do this by 13 1431 for personal loans

Which products do these changes impact?

These changes will impact all variable rate (principal and interest) home loans and investment home loans, and all variable rate personal loans. Changes to weekly or fortnightly direct debit repayments will also impact fixed-rate loan customers. 

How will my redraw change over the life of my loan?

Check out this example of how redraw will work over the life of a loan.

What if I am using my redraw to deposit money I plan on using later?

If you’re currently using a redraw facility to deposit money that you plan on using later, an offset account may better suit your needs.

What if I need access to funds beyond my available redraw balance?

If you need additional funds and you don’t have enough in available redraw, you may want to consider contacting us for a free financial health check

For the purposes of the examples, all amounts have been rounded to the nearest dollar. Actual repayments may involve dollars and cents. Applications are subject to credit approval. Full terms and conditions will be included in our loan offer. Fees and charges are payable. As this advice has been prepared without considering your objectives, financial situation or needs, you should consider its appropriateness to your circumstances before acting on the advice. You should also read our Financial Services Guide.