Fillable Switching Terms And Conditions And Application Form (Commonwealth Bank of Australia)

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Switching Terms And Conditions And Application Form (Commonwealth Bank of Australia)

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Switching
Terms and Conditions
These products are issued by the Commonwealth Bank of Australia
ABN 48 123 123 124 AFSL and Australian credit licence 234945
Effective 29 May 2020
1 General
About these Terms and Conditions
5
Section 1
If you switch your Loan Type to a:
• Standard Variable Rate; or
• Fixed Rate
9 Section 2
If you switch from a Viridian Line of Credit to
aHome Loan
11
Section 3
If you switch from a No Fee Variable Rate
HomeLoan
15
Section 4
The reference interest rates that apply to the
newLoan Type and/or Repayment Type
20
Section 5
Calculation of repayments
Contents
1
You should read these Switching Terms and Conditions
together with the Consumer Mortgage Lending Products
Terms and Conditions and your LoanContractSchedule
before requesting to switch yourexisting loan details.
References in these Terms and Conditions to switching
your Loan Type or Repayment Type includes splitting
your Loan into two or more Loan Accounts with different
Loan Types, Repayment Types or Interest Rate Margins
applying to each Loan Account.
Please refer to the table on page 2 of the Loan Switching
Request form for allowable switch and split combinations.
You may apply to switch your Loan Type or Repayment
Type by completing and returning a Loan Switching
Request form or:
• At any Commonwealth Bank branch; or
• By simply calling 13 2224 8 am – 8 pm, 7 days.
Some switches can also be applied for via NetBank if all
borrowers, or the person authorised to operate the Loan,
are registered NetBank users and able to operate the
Loan Account using NetBank.
If your switching request is made by completing the Loan
Switching Request or by attending a branch, and subject
tothe Bank approving your request, the relevant provision(s)
ofthese Switching Terms and Conditions and any notice,
letter or statement we provide to you confirming the
agreedchanges will become partofyour Loan Contract.
If your switching request is made through NetBank and
subject to the Bank approving your request, the relevant
provision(s) of these Switching Terms and Conditions and
details of the changes relating to your request outlined in
any notice, letter or statement of account we provide to
you confirming the agreed changes (which will issue
aftertheswitch has been processed) will become part
ofyour Loan Contract.
General – About these
Termsand Conditions
2
If your switching request is made over the telephone, the
Terms and Conditions applicable to your switch will be
advised by our operators and the details of the agreed
changes relating to your request will be outlined in any
notice, letter or statement of account which will issue
after the switch has been processed.
The switch will take effect on the day we process your
request unless you ask us to delay it to a later date.
Important notes
Customers with Fixed Rate loans
If you would like to re-fix your loan for another fixed rate
period, you will need to switch to another Fixed Rate loan.
If you want to switch to another loan type (including
Interest in Advance Home Loans) before the maturity
dateof your fixed rate term, you may need to pay an
EarlyRepayment Adjustment.
Customers with the Low Doc option
Customers with the Low Doc loan option can only
switchif the requested Loan Type or Repayment Type
isavailable with the Low Doc option.
Customers with a Repayment Reducer option
(no longer offered)
Customers with a 0.30% p.a. Repayment Reducer
optioncan only switch to the following LoanTypes:
• Standard Variable Rate Home Loan; or
• Fixed Rate Home Loan.
Customers with a 0.60% p.a. Repayment Reducer
optioncan only switch to the following Loan Types:
• Standard Variable Rate Home Loan; or
• Fixed Rate Home Loan.
3
Customers with Extra Variable Rate loans
Customers with an Extra Home Loan switching to a
different loan type will not retain their existing discount.
Customers splitting an Extra Variable Rate into multiple
Extra Variable Rates will retain their existing discount.
Customers with a Loan Protection policy
Customers switching their home loan will continue to be
covered by the existing Loan Protection policy.
Customers splitting their home loan into multiple home
loan accounts will continue to be covered by the existing
Loan Protection policy, up to the maximum
benefits payable.
Customers should consider whether their current level of
cover is appropriate. A request to reduce or increase
cover in line with the current home loan balance may be
made with their lender or by contacting CommInsure:
Email us: comminsureservices@cba.com.au
Call us: 13 3982 between 8am and 8pm Sydney time,
Monday to Friday
The words used in this document have the same meaning
as that used in the UTC, unless otherwise stated.
General – About these
TermsandConditions
4
Meaning of words:
Contract The Schedule and the UTC
Everyday
Offset Account
An eligible transaction account while
it has the Everyday Offset feature.
Early
Repayment
Adjustment
If you have a Colonial State Bank or
Trust Bank loan means ‘Early
Termination Interest Adjustment’.
Home Loan Home Loan and Investment
Home Loan
Loan Account The account we keep in your name
Loan Amount Loan balance plus special
repayments you ask the Bank to
retain under the RRF of the Loan.
Loan Amount
(if switching
from a Viridian
Line of Credit)
Your current Viridian Line of Credit
balance plus fees and charges or
your current approved credit limit (as
requested by you in your switching
request).
Package
Agreement
Wealth Package or Mortgage
Advantage
RRF Repayment Redraw Facility
Schedule Your Loan Contract Schedule
Switch Includes splitting your Loan in to two
or more Loan Accounts with different
Loan Types, Repayment Types or
Interest Rate Margins applying to
each Loan Account.
UTC Consumer Mortgage Lending
Products Terms and Conditions
5
If you switch your Loan Type to a:
• Standard Variable Rate; or
• Fixed Rate.
In respect of the relevant Loan Account, the
Schedule is amended as follows:
Item C – Interest rates – The default interest rate on
overdue amounts is currently 2% p.a. above the annual
percentage rate.
If you have an Everyday Offset Account linked to your
Standard Variable Rate Loan, the Interest Offset Rate
iscurrently 0% p.a. (full offset).
Item E – Repayments – If your monthly Commonwealth
Insurance Limited
^
home and/or contents premiums are
currently included in your repayments and you switch
your Loan to Interest Only, the repayment amount
quotedin the notice, letter or home loan statement
issuedto you after the switch will not include the
monthlyinsurance premium.
Item F – Fees – During the currency of your Loan, the
following fees may apply to your Loan:
If you are switching from an Extra Home Loan:
A fee, currently $8 per month, will be charged monthly
onthe repayment due date (for Interest in Advance
Investment Home Loans, the fee is charged to the
Related Account monthly on the first business day of
each month). Where a Package Agreement is held
thatapplies to the home loan, the fee applies only if
thePackage Agreement is terminated.
Section 1
^ Commonwealth Insurance Limited ABN 96 067 524 216 is a wholly owned,
but non-guaranteed subsidiary of the Commonwealth Bank of Australia.
6
If you are switching to a Fixed Rate loan the
following fees may apply:
When you Prepay or Switch your fixed loan early
Early Repayment Adjustment
Payable if you:
Make partial prepayments on a Fixed Rate loan
which exceed the allowable amounts in any year
(including paying the loan in full); or
Switch to another interest rate during a fixed
interest rate period; or
Top up the amount of credit during a fixed
rateperiod
Amount to be advised when we calculate the
fee(The amount calculated will not exceed our
reasonable estimate of our loss arising from the
Prepayment or from the Loan ceasing to be
conducted at a fixed rate (refer UTC clauses
HL11.5/ HL11.7 / HL12.4))
Administrative Fee
Payable if you:
Repay your home loan in full before the
fixedinterestrate period expires; or
Make partial prepayments which exceed
theallowable amounts in any year
$50.00
7
Other Conditions that will now apply to your loan
‘Interest Offset Rate’ means the interest offset ratefor:
(a) eligible variable interest rate Home Loans is 0% p.a.
(100% offset); and
(b) eligible fixed rate Home Loans linked to a Mortgage
Interest Saver Account (MISA)
◊
is the interest rate that
otherwise applies to theLoan under the Contract less
an interest margin we apply to all fixed rate
loanswithinterest offset facilities.
Interest Offset Rate
The Interest Offset Rate is not a reference rate. We
advertise any change to the way we calculate the
InterestOffset Rate in leading daily newspapers in
eachState and Territory no later than on the date the
change takes effect. We confirm any change with the
next statement of account we give you. If we terminate
the offset or vary the way it works, we will give you at
least 30days’ notice in writing. (HL7.3)
Section 1
◊ On and from 16 March 2019, the MISA feature is no longer available for sale
or activation for any loan. If your MISA balance reduces to a zero balance on
or after 16 March 2019, it cannot be reactivated.
1. You can retain your MISA feature when switching to an eligible loan if your
MISA balance has not reduce to zero.
2. If you switch to an ineligible loan that doesn’t allow a MISA, you will have
to close your MISA and won’t be able to reactive it.
3. If you have an existing MISA on an eligible loan and you choose to split your
loan, you will not be able to open a new MISA feature on your new loan(s).
8
Loan Obligations Not Affected
Except for the effect of the loan interest rate offset on
thecalculation of interest, your obligations in respect of
the loan are not affected by an Interest Offset Account.
To the extent permitted by law, you expressly waive any
right that you may have to set-off any credit balance of
anInterest Offset Account against any payment due on
the Loan. This means that you cannot set-off any credit
balance of an Interest Offset Account against any
payment due on the Loan unless you have a legal
righttodo so which cannot be excluded.
You must continue to make the agreed Loan repayments
in full notwithstanding the credit balance of an Interest
Offset Account. (HL7.4)
Note: You must have a Standard Variable Rate
Home Loan in a personal name(s) to open an
Everyday Offset Account. Base Variable Rate,
Extra Variable Rate and Fixed Rate Loans are not
eligible to be linked to an Everyday Offset Account.
9
If you switch from a Viridian
LineofCredit to a Home Loan
( please also read Section 1 for
additionalinformation)
In respect of the relevant Loan Account, the
Schedule is amended as follows:
Item B – Loan amount – the outstanding balance of
your Viridian Line of Credit as at the date your switching
request is processed, plus any fees and charges or your
current approved credit limit.
Item C – Interest rates – unless you have a Low Doc
Loan established prior to 1 April 2012, the name of the
interest rate applicable will be according to your selection:
• Standard Variable Rate; or
• Fixed Rate.
If you have a Low Doc Loan established prior to
1April2012, the name of the interest rate will be
according to your selection:
• Low Doc Standard Variable Rate; or
• Fixed Rate.
(see item F for fees that may apply)
Section 2
10
If you have exceeded your credit limit, you will have to
bring your account below the limit prior to your switching
request being processed or else a new Loan application
will need to be submitted. All new applications are
subject to the Bank’s normal lending criteria.
Item E – Repayments – periodic repayments of
Principaland Interest or Interest Only will now be
required. The Loan will have a required monthly
repayment amount (RMRA).
Item F – Account Service Fee – this fee is no longer
payable.
Loan Service Fee – a fee, currently $8 per month, will be
charged monthly on the repayment due date (for Interest
in Advance Investment Home Loans, the fee is charged
to the Related Account monthly on the first business day
of each month). Where a Package Agreement is held that
applies to the home loan, the fee applies only if the
Package Agreement is terminated.
Notes on transactions made through your Home Loan
account – please note you will not be able to set up
authorised debits through your Home Loan Account
other than in accordance with the UTC as it applies to
your Home Loan contract.
11
If you switch from a No Fee
VariableRate Home Loan
You may ask us to agree to switch your No Fee Variable
Rate Home Loan to an eligible Loan Type but we have an
absolute discretion to refuse your request. If we do agree
to switch your Loan, the following terms will apply:
(1) You agree that when you switch to another Loan
Typethe fees and charges set out in the schedule
below become payable by you and form Item F of
your Loan Contract.
Item F – Credit fees and charges (UTC clause 7)
List of fees and when they are payable
Settlement Fee
You discharge the loan e.g. either sell part or all
ofthe Security Property or refinance with another
credit provider.
$350.00
Loan Service Fee
For Home Loans charged monthly to the Loan
Account on the repayment due date (for Interest
inAdvance Investment Home Loans the fee is
charged to theRelated Account monthly on the
first businessday of each month).
$8.00 per month
Section 3
12
Late Payment Fee
Payable if your Loan is in arrears and we have
notreceived your full monthly loan repayment/
payment on the repayment due date or within
thenext 5 business days.
We will continue to charge this fee until you
repayallthe arrears or you enter into and keep
anarrangement with us for full repayment of
thosearrears.
$20.00
Progressive Drawing Fee
Payable where loan funds are drawn on a
progressive basis e.g. where the loan provided
isfor construction purposes (payable at your
finaldrawing).
$75.00 per drawing
Security Substitution Fee
Payable if you ask us to substitute one of your
securities with another.
$300.00
13
When you Prepay or Switch your fixed loan early
Early Repayment Adjustment
Payable if you:
Make partial prepayments on a Fixed Rate loan
which exceed the allowable amounts in any year
(including paying the loan in full); or
Switch to another interest rate during a fixed
interest rate period; or
Top up the amount of credit during a fixed
rateperiod
Amount to be advised when we calculate the
fee(The amount calculated will not exceed our
reasonable estimate of our loss arising from the
Prepayment or from the Loan ceasing to be
conducted at a fixed rate (refer UTC clauses
HL11.5/ HL11.7 / HL12.4))
Administrative Fee
Payable if you:
Repay your home loan in full before the
fixedinterestrate period expires; or
Make partial prepayments which exceed
theallowable amounts in any year
$50.00
Section 3
14
Also, if applicable, our usual transaction fees apply
whichare listed in the following brochures:
• Fees We Charge For Consumer Mortgage
LendingProducts;
• Electronic Banking – General Information and
Termsand Conditions.
(2) If you switch your Loan Type to an Interest Only
Standard Variable Rate or Fixed Rate, Item E of the
Schedule of your Contract isalso amended as follows:
Item E – Repayments – If your monthly
Commonwealth Insurance Limited
^
home and/or
contents premiums are currently included in your
repayments and you switch your Loan to Interest
Only,the repayment amount quoted in the message
appearing on the home loan statement after the
switch will not include the monthly insurance premium.
^ Commonwealth Insurance Limited ABN 96 067 524 216 is a wholly owned,
but non-guaranteed subsidiary of the Commonwealth Bank of Australia.
15
Section 4
The reference interest rates that apply to the new Loan
Type and/or Repayment Type are set out in the following
table. At the end of a Guaranteed/Fixed Rate period your
Loan Type becomes Investment Home Loan Standard
Variable Rate if you have an investment home loan and
otherwise becomes Standard Variable Rate.
Home Loans (Owner Occupied)
Home
Loans
Loan Type Reference Rate
Complete
1 Year
Guaranteed
Rate
1 Year Guaranteed Rate
1 Year Guaranteed Interest
Only Rate
12 Month
Discounted
Variable
Rate
Standard Variable Rate
Standard Variable Interest
OnlyRate
Standard
Variable
Rate
Standard Variable Rate
Standard Variable Interest
OnlyRate
1 Year
FixedRate
1 Year Fixed Rate
1 Year Fixed Interest Only Rate
2 Year
FixedRate
2 Year Fixed Rate
2 Year Fixed Interest Only Rate
3 Year
FixedRate
3 Year Fixed Rate
3 Year Fixed Interest Only Rate
4 Year
FixedRate
4 Year Fixed Rate
4 Year Fixed Interest Only Rate
5 Year
FixedRate
5 Year Fixed Rate
5 Year Fixed Interest Only Rate
7 Year
FixedRate
7 Year Fixed Rate
7 Year Fixed Interest Only Rate
16
Home
Loans
Loan Type Reference Rate
Complete
(cont.)
10 Year
FixedRate
10 Year Fixed Rate
10 Year Fixed Interest Only Rate
15 Year
FixedRate
15 Year Fixed Rate
15 Year Fixed Interest Only Rate
Extra
Extra Home
Loan (2 Year
Introductory
Rate)
Extra Variable Rate
Extra Variable Interest
OnlyRate
Extra
Home
Loan
Extra Variable Rate
Extra Variable Interest
OnlyRate
Economiser
3 Year
Special
Economiser
/Rate Saver
Base Variable Rate
Base Variable Interest
OnlyRate
Economiser
/Rate Saver
Base Variable Rate
Base Variable Interest
OnlyRate
No Fee
No Fee
Variable
Rate
No Fee Variable Rate
No Fee Variable Interest
OnlyRate
Viridian
Line of
Credit
Viridian Line
of Credit
Residential Equity Rate
17
Section 4
Investment Home Loans
Investment
Home
Loans
Loan Type Reference Rate
Investment
Investment
Home Loan
1 Year
Guaranteed
Rate
Investment Home Loan
1 Year Guaranteed Rate
Investment Home Loan 1 Year
Guaranteed Interest Only Rate
Investment
Home loan
12 Month
Discounted
Variable
Rate
Investment Home Loan
Standard Variable Rate
Investment Home Loan
Standard Variable Interest
OnlyRate
Investment
Home Loan
Standard
Variable
Rate
Investment Home Loan
Standard Variable Rate
Investment Home Loan
Standard Variable Interest
OnlyRate
Investment
Home Loan
1 Year Fixed
Rate
Investment Home Loan
1 Year Fixed Rate
Investment Home Loan
1 Year Fixed Interest Only Rate
Investment
Home Loan
2 Year Fixed
Rate
Investment Home Loan
2 Year Fixed Rate
Investment Home Loan
2 Year Fixed Interest Only Rate
18
Investment
Home
Loans
Loan Type Reference Rate
Investment
(cont.)
Investment
Home Loan
3 Year Fixed
Rate
Investment Home Loan
3 Year Fixed Rate
Investment Home Loan
3 Year Fixed Interest Only Rate
Investment
Home Loan
4 Year Fixed
Rate
Investment Home Loan
4 Year Fixed Rate
Investment Home Loan
4 Year Fixed Interest Only Rate
Investment
Home Loan
5 Year Fixed
Rate
Investment Home Loan
5 Year Fixed Rate
Investment Home Loan
5 Year Fixed Interest Only Rate
Investment
Home Loan
7 Year Fixed
Rate
Investment Home Loan
7 Year Fixed Rate
Investment Home Loan
7 Year Fixed Interest Only Rate
Investment
Home Loan
10 Year
Fixed Rate
Investment Home Loan
10 Year Fixed Rate
Investment Home Loan
10 Year Fixed Interest Only Rate
Investment
Home Loan
15 Year
Fixed Rate
Investment Home Loan
15 Year Fixed Rate
Investment Home Loan
15 Year Fixed Interest Only Rate
19
Section 4
Investment
Home
Loans
Loan Type Reference Rate
Extra
Extra
Investment
Home Loan
(2 Year
Introductory
Rate)
Investment Home Loan Extra
Variable Rate
Investment Home Loan Extra
Variable Interest Only Rate
Extra
Investment
Home Loan
Investment Home Loan Extra
Variable Rate
Investment Home Loan Extra
Variable Interest Only Rate
Economiser
Investment
Home Loan
3 Year
Special
Economiser
/ Rate Saver
Investment Home Loan Base
Variable Rate
Investment Home Loan Base
Variable Interest Only Rate
Investment
Home Loan
Economiser
/ Rate Saver
Investment Home Loan Base
Variable Rate
Investment Home Loan Base
Variable Interest Only Rate
No Fee
Investment
home loan
No Fee
Variable
Rate
Investment Home Loan No Fee
Variable Rate
Investment Home Loan No Fee
Variable Interest Only Rate
Viridian
Line of
Credit
Viridian Line
of Credit
Investment Residential
EquityRate
20
Calculation of repayments
Principal and Interest repayments
We determine your Principal and Interest repayments by
calculating a monthly amount that will, if paid each month
on the date it is due, repay your loan in full by the end of
the contracted loan term, and rounding that amount up
to the nearest whole dollar. If applicable, we then add to
that amount any monthly loan service fee and/or
CommInsure home insurance monthly premium to
determine the required monthly repayment.
The Principal and Interest calculation is based on what
we know about your loan at the time of the switching
request: the applicable interest rate, current loan balance,
date your repayments are due and remaining contracted
loan term.
Changes in future may mean the final amount required to
pay out your loan in full at the end of the loan term differs
from your required monthly repayments. We may amend
your required monthly repayment amount following an
interest rate change, or at any time, if the repayments
willnot repay the loan by the end of the loan term.
Interest Only payments
The Interest Only payments due each month are
determined by us as the total interest accrued during the
relevant month, calculated in accordance with Clause 6
of UTC.
Section 5
21
Call us on
13 2224
8am–8 pm, 7 days
commbank.com.au
Commonwealth Bank of Australia
ABN 48 123 123 124
001-070 290520 (ADB2516)
Loan Switching Request (May 2020)
i) Before completing this request you should read the Switching Terms and Conditions accompanying this form and refer
to the table on page 2 showing the allowable Switch and Split loan combinations.
ii) You may also choose to return the completed form to a CBA staff member or your broker. If you require assistance
outside business hours call 13 2224, 8am – 8pm, 7 days.
Section 1 – Your current loan details
Borrower 1 name(s) (as per loan account) Borrower 2 name(s) (as per loan account)
Borrower 3 name(s) (as per loan account) Borrower 4 name(s) (as per loan account)
Loan account number Loan type
How to complete this form
Tick (✔) and complete the following if you wish to:
Switch your loan
1, 2 and 6
Split your loan 1, 3 and 6
Change your loan repayments 1, 4 and 6
Switch your loan and change your repayments 1, 2, 4 and 6
Split your loan and change your repayments 1, 3, 4 and 6
Important Notes
• You (the customer) must sign and complete Section 6
• Staff/Broker must complete Section 7
• If you have a guarantor loan either the guarantor and/
or the staff member/broker must complete Section 5
Important Information for Borrower(s)
Switching to Fixed Rate
If you switch to a Fixed Rate loan, you will not have access to
Repayment Redraw and any accumulated Special Repayments
during the Fixed Rate period.
If you currently have a MISA
◊
and you switch to a Fixed
Rate loan, partial offset will apply. Partial offset means that
a reduced interest rate (currently 1.5% p.a. less than your
contracted Fixed Rate) is charged on that part of the Home
Loan equal to the balance of the MISA
◊
.
If you later switch from, or make a prepayment to a Fixed Rate
loan (that is, prepay more than $10,000 in a year or repay the
loan in full) you may need to pay an Administration Fee. You
may also need to pay an Early Repayment Adjustment and
depending on market conditions at the time, this could cost
many thousands of dollars. You should refer to your Consumer
Mortgage Lending Products Terms and Conditions clause HL11
“Prepayment of a Fixed Interest Rate loan” for more information
before deciding to switch to a Fixed Rate loan.
Note: As an Early Repayment Adjustment may need to be
paid,please ask us for a quote before deciding to switch.
◊
On and from the 16 March 2019, MISA is no longer available
for sale or activation, for any loan. Refer to page 7 of the
Switching Terms and Conditions for further detail.
* The ERA applied will be the ERA current on the day the switch
isprocessed.
Switching to Interest Only payments on Base Variable Rate
(Economiser*/Rate Saver**)
If you switch from a Base Variable Rate (Economiser/Rate
Saver) with Principal and Interest repayments to Interest Only
payments, you will not have access toRepayment Redraw for
the life of the loan.
Switching to Interest Only Period
Switching to Interest Only is only permitted where we are
satisfied you can afford the increased principal and interest
repayments at the expiry of the interest only period without
undue hardship. This may require you to provide us with
evidence of things like your current income, liabilities and
expenses. Any request for Interest Only is subject to our credit
policy and approval at the time of the request (such as, but
not limited to, maximum Interest Only periods, funding status,
loan to valuation ratio and remaining loan term after the Interest
Onlyperiod).
At the end of the Interest Only period, repayments on the loan
will increase to cover both interest and principal reductions. The
repayments will be higher than before as the principal does not
reduce during the Interest Only period.
Applying for a new Interest In Advance period
You can only apply for a new Interest In Advance period if
the new term commences at the end of the existing fixed rate
period, or at the end of the existing Interest In Advance period.
Note: Interest In Advance loans are only available on Interest
Only Fixed Rate Investment Home Loans.
Low Doc Loans
Customers with a Low Doc loan option can only switch if the
requested Loan Type or Repayment Type is available with the
Low Doc option. A credit assessment and approval is required
before being processed.
Switching from a Standard Variable Rate Home Loan
If you switch from a Standard Variable Rate Home Loan linked
to any eligible transaction account, the Everyday Offset feature
(allowing interest offset) will no longer apply. Any Everyday Offset
feature linked to your Home Loan willautomatically cease to apply.
Extra Home Loans
Customers with an Extra Home Loan switching to a different
loan type will not retain their existing discount. Customers
splitting an Extra Variable Rate into multipleExtra Variable
Rates will retain their existing discount.
This form cannot be used for switching to an Extra Home Loan.
Please contact a CBA staff member or your broker to request
converting your existing loan type to an Extra Home Loan.
Page 1 of 7001-070 290520 (BR123)
Page 2 of 7004-794 290520
Allowable Switch and Split loan combinations
Switching Type of Loan
Switch to
Standard Variable Rate
HomeLoans
Fixed Rate Home Loans Extra HomeLoans Viridian Line of Credit
(not available, new
applicationrequired)
Standard Variable Rate Fixed Rate Extra Variable Rate
Switch
from
Standard Variable Rate
✗
✔
✗
#
✗
1 Year Guaranteed Rate
²
✔ ✔
✗
#
✗
12 Month Discounted Variable Rate
²
✔ ✔
✗
#
✗
No Fee Variable Rate
²
✔
◗
✔
◗
✗
#
✗
Fixed Rate (ERA may apply)
✔
✔ (new Fixed Rate)
✗
#
✗
Base Variable Rate (Economiser*/Rate Saver**)
²
✔ ✔
✗
#
✗
Base Variable Rate (Economiser*/Rate Saver**) 3 year Special
²
✔ ✔
✗
#
✗
Extra Variable Rate
✔ ✔
✗
#
✗
Viridian Line of Credit
✔ ✔
✗
#
✗
Split Your Existing Loan
Split into any of the following loan combination(s)
Standard Variable Rate
and Fixed Rate (Split Loan)
Multiple Standard
Variable Rates
Multiple Fixed
Rates
Multiple Extra
VariableRates
##
Multiple Viridian
Lines of Credit
Split
from
Standard Variable Rate (excluding Low-Doc option)
✔ ✔ ✔
✗ ✗
Fixed Rate (ERA may apply)
✔ ✔ ✔
✗ ✗
Extra Variable Rate
✔ ✔ ✔ ✔
✗
Viridian Line of Credit
✗ ✗ ✗ ✗ ✗
Switching Repayment Type
Switch to
Principal and Interest repayments Interest Only repayments
^^
Interest In Advance repayments
(Fixed Rate Investment Home Loan only)
Switch
from
Principal and Interest repayments
✗
✔ ✔
Interest Only repayments
✔
✔
(further Interest Only period)
✔
Interest In Advance repayments (Fixed Rate Investment Home
Loanonly)***
✔ ✔
✔
(further Interest In Advance period)
* Available only if the Loan was not introduced through an accredited broker. ** Available only if the Loan was introduced to us through an accredited broker.
#
Available only if there are additional borrowings of $150,000 or more on the existing loan balance at the time of the switch.
##
Loan splitting is not available for Extra Home Loans during introductory period.
²
Product no longer offered for sale and cannot be switched into from 29 September 2018.
^^
Subject to approval.
◗
Please ensure you provide the customer the fact sheet ‘Switching from a No Fee Home Loan’.
Section 2 – Switching your loan (changing your current loan to another new loan type)
Date you want the switch to take effect on (please select only one option)
The date this form is processed
Your requested date
Are you a Wealth Package/Mortgage Advantage customer? Yes No
Important notes:
• Your VLOC balance includes debit interest. Your VLOC limit will be cancelled. All accrued debit interest will be included.
• When switching from a VLOC to a another loan type please ensure all direct debits/salary credits are changed.
• Package benefits cannot be combined with other discounts and/or special offers unless stipulated otherwise.
New loan type
Current loan amount OR Limit
$
Fixed rate term of 1 to 5 years (if applicable)
yrs
Interest rate for new loan
% p.a.
Discount/Wealth Package/Mortgage Advantage Concession
% p.a.
Final interest rate for new loan
♦
% p.a.
I/We request to switch my/our existing loan/Viridian Line of Credit to another single loan type
Section 3 – Splitting your loan (changing your current loan into multiple new loan types)
Date you want the split to take effect on (please select only one option)
The date this form is processed
On the expiry date of your current fixed or discounted period
Your requested date
I/We request to split my/our existing loan of
$
as follows
Existing Loan.
Requested Loan Type
1.
Loan amount
$
Fixed Rateterm
of 1 to 5 years
(ifapplicable)
yrs
Current
interest rate
% p.a.
Discount/
Wealth Package/
Mortgage
Advantage
Concession
% p.a.
Final interest
rate for new
loan
♦
% p.a.
2. $ yrs % p.a. % p.a. % p.a.
New Loan. Requested loan type
New loan amount
Important notes:
• When you switch to another loan type apart from one which is a fixed interest loan, the reference interest rate will be the
reference interest rate for that loan type set out in Section 4 of the term and conditions as at the date the switch takes effect.
This means that the final interest rate (APR) for your new loan type may be different from that which is stated on this form.
• When you switch to another loan type which is a fixed interest loan, the interest rates will be fixed for each repayment
type during the fixed rate period by using the reference interest rate for that loan type set out in Section 4 that
applied to each repayment type as at the date we accept your switch request. This means that the final interest rate
(APR) for your new loan type may be different from that which is stated in this form.
• When you switch to another loan type and you are paying principal and interest repayments, the amount of each
repayment will not be as specified in the Loan Contract but will be determined by the method specified for the
Principal and Interest Repayment type in Section 5 of the terms and conditions.
On the expiry date of your current fixed or discounted period
If your existing loan is a VLOC complete the following options:
Requested remaining loan term in years (1-25 years):
yrs
please tick (✔) one of the following options:
Switch my VLOC balance only Switch my current approved VLOC limit
As you are switching your VLOC account to another product type, advise what to do with your existing account:
Close my VLOC account – I/We will ensure that all direct debits/salary credits are changed.
Convert my VLOC into a Smart Access Account - The Bank will send the borrower(s) a copy of the Transaction, Savings
and Investment Account Terms and Conditions. The first deposit into the account will represent acceptance of these terms
and conditions.
Page 3 of 7001-070 290520 (BR123)
DD/MM/YYYY
DD/MM/YYYY
Notes for Sections 3 and 4
Method of Operation (joint borrowers only)
The Method of Operation for any new loan account opened as a result of a split loan will remain the same as the existing
loanaccount.
Method of Operation tells us how you currently operate your account, ‘either to operate’ or ‘both/all must sign’.
♦
Interest rates may change before the request is processed by theBank.
#
The Bank will calculate this amount for you. Interest Only and Interest In Advance is subject to change due to interest rate fluctuations and variations in
thenumber of days in the interest charging period.
^
Ensure a debit account is nominated. Interest amounts are subject to change due to interest rate and the number of days in the interest chargingperiod.
Δ
The repayment amount is an estimate/indicative figure which has been calculated based on the current interest rates at the time of the switch.
This repayment amount could possibly vary at the end of the interest only period and should only be used as a guide.
Section 4 – Changing your repayments
Select one of the following repayment options (Home/Investment Loans only)
Important Notes
• If you are changing your repayments for a single loan only, complete the detail in ‘Loan 1’.
• If you are splitting your loan, complete the details in ‘Loan 1’ and ‘Loan 2’.
• Remember to fill in your account details, if you are changing the account where your loan repayments are debited from.
• When you change your repayment type, other than during a fixed rate period the reference interest rate applicable
to that new repayment type set out in Section 4 of the terms and conditions will apply to your loan from the date of
that change.
• When you change your loan repayment type, the amount of each payment or repayment will not be as specified in
the Loan Contract but will be determined by the method specified for that repayment type in Section 5 of the terms
and conditions.
Account name BSB Account number
Account to be debited for my loan repayments^:
Important notes:
If you have an existing Loan Protection policy, no further action is required to cover the new loan account. Refer to page 3
of the terms and conditions for more information.
Section 3 – Splitting your loan (changing your current loan into multiple new loan types) (continued)
Loan 1
Principal and Interest
#
I/We would like to pay: weekly and commencing from
fortnightly and commencing from
monthly and commencing from
Interest Only
#
Currently on Interest Only period and nominating to continue until expiry of the period
OR
New Interest Only period of years
OR
New Interest in Advance period of years (Only available on Interest Only Fixed Rate Investment Home Loans)
You must advise us of why you are applying for an Interest Only Period.
My/Our reason for requesting this Interest Only Period is:
Recommendation provided by advisor
Temporary cost reduction to allow flexibility to
manage a temporary income reduction or short
term costs, e.g. whilst on parental leave or paying
educational expenses.
Maximise negative gearing potential for
investmentpurposes.
Other (please enter full description)
Your estimated Interest Only payment during the Interest Only period will be
$
per month
Δ
(please calculate this repayment from the Home Loan Calculator)
Your estimated principal and interest repayment at the end of the interest only period will be
$
per month
Δ
(please calculate this repayment from the Home Loan Calculator)
We will calculate the minimum
required repayment and debit
your nominated account
Page 4 of 7
001-070 290520 (BR123)
DD/MM/YYYY
DD/MM/YYYY
DD/MM/YYYY
Section 4 – Changing your repayments (continued)
Section 5 – Guarantor(s) details (Guarantor and/or CBA staff member/broker to complete)
Guarantor(s) Authority
• I/We acknowledge and confirm my/our existing guarantee continues as a guarantee and my/our existing security (if any) supporting
such guarantee continues as security for the obligations of the Borrower(s) under the Contract as varied pursuant to this Request.
Guarantor 1
✗
Signature of Guarantor 1 Date
Residential address (PO Box is not acceptable)
State Postcode
Full nameTitle
Guarantors consent will be required for a switch to, or extension of, an Interest In Advance repayment type or an
Interest Only repayment type and the Bank will request this consent from the Guarantor(s).
Guarantor 2
✗
Signature Guarantor 2 Date
Residential address (PO Box is not acceptable)
State Postcode
Full name
Title
Form continued next page
Loan 2 (only if you are splitting your loan)
Principal and Interest
#
I/We would like to pay: weekly and commencing from
fortnightly and commencing from
monthly and commencing from
Interest Only
#
Currently on Interest Only period and nominating to continue until expiry of the period
OR
New Interest Only period of years
OR
New Interest in Advance period of years (Only available on Interest Only Fixed Rate Investment Home Loans)
You must advise us of why you are applying for an Interest Only Period.
My/Our reason for requesting this Interest Only Period is:
Recommendation provided by advisor
Temporary cost reduction to allow flexibility to
manage a temporary income reduction or short
term costs, e.g. whilst on parental leave or paying
educational expenses.
Maximise negative gearing potential for
investmentpurposes.
Other (please enter full description)
Your estimated Interest Only payment during the Interest Only period will be
$
per month
Δ
(please calculate this repayment from the Home Loan Calculator)
Your estimated principal and interest repayment at the end of the interest only period will be
$
per month
Δ
(please calculate this repayment from the Home Loan Calculator)
We will calculate the minimum
required repayment and debit
your nominated account
Page 5 of 7001-070 290520 (BR123)
DD/MM/YYYY
DD/MM/YYYY
DD/MM/YYYY
DD/MM/YYYY
Section 6 – Borrowers Acknowledgement and Authority (you must sign this)
By signing this form, you confirm the information provided by you is true and correct and are agreeing to the changes requested on this
form and agreeing to the following:
• I/We request the Bank to change my/our Loan Contract as per the completed section(s) on this Loan Switching Request.
• I/We acknowledge that my/our request is subject to the Switching Terms and Conditions and when changed, my/our Loan
Contract is varied by those terms and conditions.
• I/We acknowledge that, if the Bank agrees to vary the Loan Contract as set out in this request form, my/our Loan Contract will
be varied on the date the Bank processes this request.
• I/We acknowledge that the Bank has the right to refuse a request to switch from a No Fee Variable Rate Home Loan.
• I/We understand that if my/our loan has Guarantor(s), their consent will be required for a switch to, or extension of, an Interest In
Advance repayment type or an Interest Only repayment type and that the Bank will request this consent from the Guarantor(s).
Under the Banking Code of Practice, the Bank is not to give a switching form to me/us to arrange for a Guarantor to sign.
• I/We acknowledge that any email I/we send or receive in relation to this request may pass through non-secure channels and could
therefore be viewed by an unauthorised third party. I/we acknowledge the risks inherent in this means ofcommunication.
Full name
✗
Signature of Borrower 1 Date
Full name
✗
Signature of Borrower 2 Date
Full name
✗
Signature of Borrower 3 Date
Full name
✗
Signature of Borrower 4 Date
For Interest Only switching requests:
• I/We aren’t aware of any recent or upcoming changes to my/our financial situation (including any changes
to your employment circumstances, income levels or outgoings) that could affect my/our ability to meet any
existing debts.
• I/We have considered and confirmed that Interest Only payments would suit my/our needs and objectives.
• I/We acknowledge the estimated Principal and Interest repayment amount will be higher at the end of the
Interest Only period. I/We will be paying the interest amount off on my/our loan during my/our Interest Only
period and are not paying the loan balance (principal component).
• I/We acknowledge having an Interest Only period, means I/we will be paying more interest over the life of the
loan and that the rate of interest will be higher during the Interest Only period.
• I/We can afford the estimated Interest Only repayments during the Interest Only period and the estimated
Principal and Interest repayments at Interest Only expiry without financial difficulty.
• I/We acknowledge the estimated repayments are based on current interest rates at the time of the switch and
could vary at the end of the Interest Only period
If you are switching to a fixed rate loan you also acknowledge the following – Early repayment Adjustment
Acknowledgement
I have chosen to switch to a Fixed Rate loan and I acknowledge it has been explained to me that if I break my fixed
term by:
• switching; or
• partially prepaying my loan; or
• repaying my loan in full.
Prior to the end of the fixed rate period, an Early Repayment Adjustment may apply.
I understand that an Early Repayment Adjustment could range from $0 to many thousands of dollars. Theamount
can vary daily by many thousands of dollarsowing to market fluctuations and cannot be quoted until the date
ifswitching of prepayment.
Page 6 of 7
001-070 290520 (BR123)
DD/MM/YYYY
DD/MM/YYYY
DD/MM/YYYY
DD/MM/YYYY
Section 7 – Staff/Broker details
Staff number/Broker ID Contact number
Prepared by (full name)
Branch name BSB/OUN
I have asked the customer if there are any changes to their circumstances or earning capacity, employment or income levels that
may affect their ability to meet their debts, expenses and repayments. The customer confirmed (please select one);
No changes and can meet their debts, expenses and repayment obligations.
Changes to their circumstances, but are not in financial hardship and still are able to meet their debts, expenses and
repayment obligations.
Not able to meet their obligations. Must refer customer to financial assistance.
Page 7 of 7001-070 290520 (BR123)
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Switching Terms And Conditions And Application Form (Commonwealth Bank of Australia)

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Completed 29 July 2020

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