Offset Account Calculator
See how much an offset account can reduce your interest over the life of your loan.
Disclaimer: Estimates only. Assumes a constant offset balance and P&I repayments. Actual results may vary.
How Offset Accounts Work
An offset account is a transaction account linked to your home loan. The balance in your offset account is deducted from your loan balance before interest is calculated. For example, if you owe $500,000 and have $50,000 in your offset, you only pay interest on $450,000.
This can result in substantial interest savings over the life of your loan, and can also help you pay off your mortgage years earlier. Unlike making extra repayments, the money in your offset remains accessible whenever you need it.
Tip: Directing your salary into your offset account maximises the benefit, even if you withdraw funds for expenses throughout the month.