First Option Bank Home Loan Review
Read Here for Our First Option Bank Home Loan Review:
First Option Bank is a smaller lender compared to many other established banks in the country. However, this doesn’t mean that they’re less worthy of consideration. First Option Bank home loans are quite ideal precisely because they’re a smaller bank.
Who is First Option Bank?
As a fully member-owned company, First Option Bank prides itself on always putting its clients first. Established in 1965, it has since grown while remaining member-focused, unlike many bigger and more prominent lenders.
Where does First Option Bank operate?
First Option Bank is Australian-owned and primarily operates in Victoria (Melbourne) and New South Wales (Granville). However, potential clients around these areas are welcome to apply.
Who are eligible for a First Option Bank home loan?
Those interested in applying for a First Option Bank home loan must fulfil the following eligibility criteria:
- Citizenship and residence: Borrowers must be Australian citizens or residents of Australia.
- Age: All borrowers must be at least 18 years of age.
- Regular income: Those interested in a home loan must have a regular income source. Proof of income will be required upon application.
Do take note that these three eligibility criteria apply to all First Option Bank services. In addition, each service may have additional criteria in addition to the ones stated above.
What requirements are necessary when applying?
Aside from the eligibility criteria above, this lender also has specific requirements for potential borrowers. The requirements for a First Option Bank home loan include the following:
- Proof of Identification: Valid government-issued IDs (like birth certificates and passports) can be used as proof of identification.
- Statements of Assets and Liabilities: Documents detailing assets and liabilities are required for all potential clients. These include bank statements, proofs of investment, debt incurred, and outstanding payments.
- Proof of Income: All lenders, including this one, require proof of income. Examples of acceptable documents are payslips, income statements, tax return documents, and bank statements.
First Option Bank home loan rates
This lender’s home loans are classified into Classic, Premium, Premium+, and Platinum. There are different home loan rates for each, based on rank.
Also, home loan rates are different for owner-occupied home loans and investment home loans. The former generally have lower rates compared to the latter.
The home loan rates for owner-occupied home loans are the following:
|Loan||Fixed-rate for the first 12 months||Variable-rate: Principal and interest||Variable-rate: Interest only||Borrowing amount|
|Premium||2.59%||3.69%||3.89%||Between $150,000 and $600,000|
|Premium+||2.59%||3.49%||3.69%||Between $600,000 and $800,000|
The home loan rates for investment home loans, on the other hand, are the following:
|Loan||Fixed rate for the first 12 months||Variable rate: Principal and interest||Variable rate: Interest only||Borrowing amount|
|Premium||2.79%||4.19%||4.39%||Between $150,000 and $600,000|
|Premium+||2.79%||3.99%||4.19%||Between $600,000 and $800,000|
Take note that both the given owner-occupied and investment home loan rates are from October 2020 and are still applicable.
What member support features are available with this lender?
Keeping true to their promise of putting members first, First Option Bank has many features to help support members. These features include:
- Online banking platform: Account access is available through online banking and is considered an online bank branch.
- Mobile app: Their mobile app is free for members and extremely flexible. Loan applications, card activation, calculators, and real-time payments can be done through the app.
- Flexible payment options: Direct credit and debit options are available through their online payment. Payments can be made in person.
Compare First Option Bank Home Loans with other Home Loans Online
First Option Bank home loans have excellent rates compared to those of bigger banks. However, do note that there may be other offers out there that will suit you better.
To help you decide, use a comparison site like Makes Cents. Doing so lets you see these offers side-by-side and compare their features before you make a big home loan decision.
Our First Option Bank Home Loan Review is just one of many. You can also read reviews on many more Home Loan Reviews at MakesCents.