Each payment you make is the same (although if you’re on a variable interest rate, your interest payment will change with the market). With each instalment the proportion of principal paid back gradually increases as the interest paid back decreases.
Paying the same amount of principal back with every repayment reduces your interest payments a little every time (depending on changes to interest rates).
You can opt for a revolving credit facility as part of your TSB Bank Home Loan (limits apply). Direct credit your salary and as your debt reduces, you can draw funds again.
Choose from weekly, fortnightly, monthly or quarterly* payments. More frequent payments reduce the interest paid over the loan term.
You can arrange principal repayment increases automatically each year, reducing your overall borrowing costs.
If you're selling your home and buying or building a new one, bridging finance can take the pressure off selling your current home in a hurry. This is a separate loan and typically on an interest-only basis, with the old property used as security and the loan repaid when that property sells. Interest rates are 0.50% p.a. above our standard home loan rates.
Or call 0800 231 232
*Not applicable to the Welcome Home Loan