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Home Loan Rates: The Hidden Cost of Financial Inaction in 2025 A recent Mozo report reveals a startling trend in Australian mortgage management: two in five homeowners remain unaware of their current home loan interest rates, potentially leaving thousands of dollars on the table. The research highlights a significant disconnect between borrowers and their financial commitments. Despite ongoing economic challenges and repeated interest rate hikes, 41% of mortgage holders cannot identify their exact loan rate – a statistic unchanged from previous assessments. Financial Loyalty vs. Savings Potential Major banks continue to benefit from borrowers' reluctance to shop around. Mozo's analysis shows a stark contrast in interest rates: big four banks (ANZ, Commonwealth Bank, NAB, and Westpac) average 7.15% variable rates, compared to 6.71% from non-major lenders. This seemingly small difference can translate into substantial long-term savings. For a typical $500,000 loan, borrowers could save $140 monthly – or an impressive $62,684 over 25 years – by simply refinancing to a more competitive rate. The numbers are compelling: those who compare rates annually pay an average of 5.78% interest, compared to 6.46% for those who rarely or never review their loans. The Human Cost of Financial Uncertainty The report also unveils the emotional and practical challenges facing Australian homeowners. Nearly half of the respondents (48%) feel overwhelmed by their expenses, with 14% expressing doubts about meeting mortgage repayments in the coming year. Most alarmingly, 28% have already turned to family and friends for financial support. Mozo's banking expert, Peter Marshall, offers a straightforward message: financial awareness is crucial. "Understanding your financial products and priorities can prevent unnecessary spending," he explains. "Even small additional costs can accumulate significantly over time." Practical Steps for Homeowners Marshall recommends proactive measures for those struggling with their mortgage: 1. Review your current interest rate 2. Compare offerings from different lenders 3. Negotiate with your current bank 4. Consider refinancing if better options exist The big four banks are often willing to negotiate to retain customers, making it worthwhile to initiate conversations about your loan terms. A Call to Action The key takeaway is clear: knowledge is financial power. Borrowers who actively monitor and compare their home loan rates consistently save more money. Conversely, passive acceptance of current terms can leave homeowners vulnerable to unnecessary financial strain. For those feeling overwhelmed, the first step is simple: create a basic budget and explore home loan options. This approach can be the foundation for regaining financial control and peace of mind. For more information, visit the Berkshire Financial Services Website

Small Business Lending Needs a Change, Berkshire Financial Services Has the Solution. There’s a gap in small business lending that needs attention—and Berkshire Financial Services is here to fill it with tailored solutions from our network of 80 trusted lenders. Small businesses are the backbone of the Australian economy, and we see them everywhere. Whether it’s your go-to coffee shop, a growing fashion brand, or the skilled tradespeople driving the housing market, they’re all making vital contributions. However, despite their critical role, small businesses face hurdles when it comes to securing the financial backing they need. With rising interest rates and difficulties in securing loans, the pressure is mounting, especially for ABN holders. That’s where Berkshire Financial Services comes in. We specialise in SME-focused funding solutions designed to ease the financial strain on small businesses. With a deep focus on supporting ABN holders, we’re committed to helping you overcome the barriers to growth. If you’re considering a business loan, vehicle finance, debt consolidation, or simply want to explore the advantages of using ‘other people’s money’ to scale your business, we’re here to help. Click the link to chat with us today and set your business up for success in 2025. (This is an example of a client we helped last week) www.whereismymoney.au

This is just one example of how AI is going to change this industry, for the better as well Talk to us today about how and why this can make such a massive difference to your mortgage. https://lnkd.in/ej7GMe-C

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Do we really want a cashless society? Imagine how much more it will hurt the small business owner or weekend market traders. Students? Don’t even get me started. https://lnkd.in/dg4eq8AM