People’s Choice Credit Union (PCU) is a member-owned financial institution offering a range of mortgage products to suit the needs of first-time buyers, upgraders, and investors alike. Here’s a breakdown of PCU mortgages and how they can help you achieve homeownership.
PCU Mortgage Options:
- Fixed Rate Home Loan: This option provides peace of mind with a locked-in interest rate for a fixed term. This allows for predictable repayments throughout the loan period.
- Basic Variable Home Loan: This is a straightforward option with a competitive variable interest rate. It comes with no application or ongoing fees, and you have the flexibility to make extra repayments to reduce the loan term and save on interest.
- Standard Variable Home Loan: Offering a balance between flexibility and interest rates, this variable rate loan allows for unlimited extra repayments and comes with some bundled features like discounts on other PCU products and services (subject to fees and eligibility).
Features to Consider:
- Competitive Rates: PCU strives to offer competitive interest rates on their mortgages.
- Flexibility: Depending on the chosen loan, you may have the flexibility to make extra repayments and potentially pay off your loan faster.
- Bundled Features: Some PCU mortgages come with bundled features like discounts on other financial products offered by the credit union. Be sure to check the eligibility criteria and associated fees for these features.
- Redraw Facility (available on some loans): This allows you to redraw some of your repayments if needed, providing extra financial breathing room (conditions apply).
Applying for a PCU Mortgage:
- Become a Member: Membership with PCU is a prerequisite to applying for a mortgage. There may be a fee associated with membership.
- Pre-approval: Consider getting pre-approval to understand your borrowing capacity before house hunting. This strengthens your offer when you find the right property.
- Gather Documents: Prepare the necessary documents, including income statements, tax returns, and identification.
- Apply Online or In-Branch: Apply online for convenience or visit a PCU branch to discuss your options with a mortgage specialist.
- Settlement: Once your application is approved, PCU will guide you through the settlement process to ensure a smooth transition into homeownership.
Additional Considerations:
- Comparison Rate: Don’t just focus on the advertised interest rate. Look at the comparison rate, which includes fees and charges, to get a clearer picture of the true cost of the loan.
- Fees: Be aware of any upfront and ongoing fees associated with your chosen PCU mortgage product.
- Eligibility Criteria: Ensure you meet the eligibility criteria for the specific PCU mortgage product you’re interested in.
Getting Help:
PCU offers online resources and mortgage calculators to help you estimate repayments and choose the right loan option. You can also talk to a PCU mortgage specialist for personalized advice throughout the process.
By understanding PCU’s mortgage offerings and the key factors involved, you can make informed decisions and leverage their member-owned structure to potentially benefit from competitive rates on your home loan journey. Remember, homeownership is a significant financial commitment, so ensure you choose a mortgage product that aligns with your long-term plans and financial goals.