Right for you?

For the first time borrower or new customer.
Let Simply Money help you make the right choice.


Honeymoon Loans, sometimes called Introductory Rate Loans, are targeted to the first homebuyer. They commonly offer cheaper rates, as either a ‘fixed discount’ or ‘discounted fixed’ rate, for an initial period of time.

    This is a rate that will be variable, but fixed at a certain level or margin below the standard variable rate. For the specified introductory period, the fixed discount rate will rise and fall with the market.
    This is a rate fixed for the introductory period of the loan, and unlike the Fixed Discount Rate, it won’t move with the market. The rate may be discounted when compared to a standard fixed rate, but it will remain at the agreed rate for the term of the introductory period.

If you already have a loan, chances are your lender won’t offer you a Honeymoon Loan. They are usually reserved for new customers, and are meant to attract new business. While they may at first appear attractive and are undoubtedly popular, there are a number of things to look out for:

  • What will the rate be when your honeymoon loan rolls over to the standard variable rate?
  • Are there any caps on extra payments during the honeymoon loan period?
  • How will a higher rate affect you in the future?
  • What are the penalties if you need to exit the loan?

Still have questions? Ready to apply?
Then call us on 0418 340 485.

Understanding what you need in a loan and helping you navigate the many options is what we do best. Or if you prefer, you can email us with any questions or to make an appointment.