Bankwest have announced a new home loan interest rate concept.

Effective 9, September 2009

Description
The Capped Rate Home Loan is a variable rate product with a cap set on the interest rate. This means that the interest rate is guaranteed not to increase past a certain limit for a pre-determined period.

Eligibility
Eligibility Minimum loan amount $100,000.

Interest Rate
The interest rate is a variable rate with a cap set on the interest rate. Each tranche release will have a common cap expiry date and common cap interest rate. Please refer to the current interest rate fees and charges schedule for rate details or see below.

*The capped rate only applies until 10/11/2012. A loan may not be available on the above terms.

Loan Value Ratio (LVR) = Maximum 90% (plus capitalised LMI)
Owner Occupier loans* ; Investment loans*; construction of an investment dwelling*. (*May differ for country and regional areas).

Applicable Fees

* Application fee - $700
* A Capped Rate Home Loan Cap Purchase Fee is payable in order to cap the interest rate. The fee is 0.15% of the loan amount and is payable upfront at the time of application.
* Monthly loan maintenance fee of $12 applies to this home loan product.
* A Capped Rate Home Loan Prepayment Fee - Payable each time you repay 50% or more of your amount of credit (including any variation to it) before the capped term expiry date. The Capped Rate Home Loan Prepayment Fee is calculated as follows: 1% of the amount of the loan being repaid.
* Transfers available, standard transfer procedures and fees apply.

Online Redraw
Free, no minimum, $5K per day Pay Anybody maximum. Home Loan Access (over the counter) fees applicable.