RACQ Bank launches new low-rate green home loan

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on January 24, 2022 Fact Checked
RACQ Bank launches new low-rate green home loan

RACQ Bank has launched a new home loan product for existing customers to buy and install clean energy products.

The new product is variable and is available on loan amounts from $3,000 to $50,000 on owner occupied home loans paying principal and interest (P&I).

The Green Home Loan offering from RACQ Bank comes with a comparison rate of 0.79% p.a.

RACQ banking group executive Michelle Winzer said a recent RACQ survey found 75% of Queenslanders had made efforts to reduce electricity consumption and 44% were interested in a specific loan to make sustainable improvements to their home.

"We’ve introduced a green home loan to help RACQ Bank mortgage holders purchase and install clean energy products in their homes," Ms Winzer said.

"The green home loan can be used to purchase solar panels, battery packs, solar or heat pump hot water systems and electric vehicle charging stations and at a low 0.79% p.a making sustainability more affordable."

All green home improvements made using RACQ Bank’s Green Home Loan are to be sourced from Clean Energy Council (CEC) approved suppliers and installers.

"By using accredited retailers and installers, it helps ensure our members are charged a fair price for a quality product," Ms Winzer said.

"A CEC approved retailer provides a five year whole-of-system warranty so if you have an issue, the retailer will take care of any warranty issues on behalf of the customer."

At 0.79% p.a. RACQ Bank's new product is competitive among other green home loans, including offers from CommBank and homeloans.com.au.

Who can apply for an RACQ Bank Green Home Loan?

  • Available for members with an RACQ Bank Home Loan - either new purchase, existing, or refinanced.
  • Available for the home with the eligible RACQ Bank Home Loan.
  • Available for principal and interest, owner-occupied RACQ Bank Home Loans.
  • Home loans must have a minimum loan balance of $250,000.

RACQ Bank notes the Green Home Loan product will be available for investors at a later date.


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Buying a home or looking to refinance? The table below features home loans with some of the lowest interest rates on the market for owner occupiers.

Lender

Variable
More details
UNLIMITED REDRAWSSPECIAL OFFER
  • Fast turnaround times, can meet 30-day settlement
  • For purchase and refinance, min 20% deposit
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Smart Booster Home Loan Discounted Variable - 2yr (LVR < 80%)

  • Fast turnaround times, can meet 30-day settlement
  • For purchase and refinance, min 20% deposit
  • No ongoing or monthly fees, add offset for 0.10%
Variable
More details
AN EASY DIGITAL APPLICATION
  • No ongoing fees - None!
  • Unlimited additional repayments
  • Easy online application, find out if you're approved quick!
  • Redraw- Access your additional payments if you need them
  • Use the app to get loan insights to help you pay off your home loan faster
AN EASY DIGITAL APPLICATION

Neat Variable Home Loan (Principal and Interest) (LVR < 60%)

  • No ongoing fees - None!
  • Unlimited additional repayments
  • Easy online application, find out if you're approved quick!
  • Redraw- Access your additional payments if you need them
  • Use the app to get loan insights to help you pay off your home loan faster
Variable
More details
100% FULL OFFSET ACCOUNTNO APPLICATION FEE OR ONGOING FEES
  • No upfront or ongoing fees
  • 100% full offset account
  • Extra repayments + redraw services
100% FULL OFFSET ACCOUNTNO APPLICATION FEE OR ONGOING FEES

Low Rate Home Loan - Prime (Principal and Interest) (Owner Occupied) (LVR < 60%)

  • No upfront or ongoing fees
  • 100% full offset account
  • Extra repayments + redraw services
Variable
More details
NSW/VIC/SA METRO & INNER REGIONAL AREAS$5000 CASHBACK. T&Cs APPLY.
  • No upfront or ongoing fees
  • 100% full offset account
  • Extra repayments + redraw services
NSW/VIC/SA METRO & INNER REGIONAL AREAS$5000 CASHBACK. T&Cs APPLY.

Variable Home Loan (Principal and Interest)

  • No upfront or ongoing fees
  • 100% full offset account
  • Extra repayments + redraw services

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. All products will list the LVR with the product and rate which are clearly published on the Product Provider’s web site. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of May 26, 2022. View disclaimer.


Image by Schrop Feroval via Unsplash.

Disclaimers

The entire market was not considered in selecting the above products. Rather, a cut-down portion of the market has been considered. Some providers' products may not be available in all states. To be considered, the product and rate must be clearly published on the product provider's web site. Savings.com.au, yourmortgage.com.au, yourinvestmentpropertymag.com.au, and Performance Drive are part of the Savings Media group. In the interests of full disclosure, the Savings Media Group are associated with the Firstmac Group. To read about how Savings Media Group manages potential conflicts of interest, along with how we get paid, please visit the web site links at the bottom of this page.

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Jacob Cocciolone joined the Savings team in 2021 as a Finance Journalist. Driven by a passion for keeping Australians up to date with the latest financial news and trends, his areas of interest include financial technology, investing, property and motoring.

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