Frequently Asked Questions

The balance in your offset account reduces the loan amount on which interest is charged.

It estimates interest savings and time saved over the loan based on the offset balance entered.

Yes, but more of your repayment goes to the principal.

Offset keeps funds in a separate account. Redraw requires formal withdrawal from prepaid loan amounts. Adding to either of these reduces interest paid over the life of the loan.

Some fixed loans don't offer offset. Check with us.

Yes, you can typically deposit and withdraw from an offset account freely. You are the legal owner of your offset account.

This calculator assumes a constant offset balance, but actual balances may vary. Typically, people pay their income into the offset and use it for daily expenses, so balances fluctuate.

Both reduce interest. Offset gives flexibility; extra repayments reduce debt directly.