How does a deferred establishment fee apply to my home loan?

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Last updated 02 February 2015


A Deferred Establishment Fee (DEF) is charged to partially cover the cost we incur in establishing a home loan.

The fee applies if your loan was established prior to 21/03/2011 and is paid out in full within four years from the date the loan was funded. A DEF also applies to loans under a package arrangement.

The DEF does not apply if you switch your loan to another type of loan with the Commonwealth Bank.

The Deferred Establishment Fee amount reduces as loan tenure increases as below

  • $700 if repaid within the first year
  • $525 if repaid within >1 - <2 years
  • $350 if repaid within >2 - <3 years
  • $175 if repaid within >3 - <4 years

If you would like to learn more about optimising your home loan, you can contact our Home Loan Specialists on 13 2224 between 8am & 8pm, 365 days, visit your nearest branch or talk to your broker, to arrange a free Home Loan Health Check. Find out more about managing your home loan.

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