Refinance Savings Calculator

Enter your current loan details and a potential new rate to see how much you could save. The calculator shows the difference in monthly repayment and total interest over the remaining term. This is an estimate only — we'll show you real rates from 60+ lenders.

What you still owe on your current loan.
The rate you're paying now.
A rate you've seen or been offered. Not an offer from us.
Years left on your current loan.

Your estimated savings

Monthly saving $—
Total interest saved $—
New monthly repayment $—
Current monthly repayment $—
See what rates you could get

Estimates only. Calculated on the rates and term you enter, assuming a principal-and-interest loan with a constant interest rate. Does not include refinancing costs (break fees, application fees, valuation fees) or rate changes over time. Your actual savings will differ.

How this is calculated

The calculator works out your current monthly repayment using the standard amortisation formula, then does the same with the new rate you've entered. The difference is your monthly saving. Multiply that by the number of months in your remaining term to get the total interest saved.

The calculation assumes you keep the same loan term and that the rate stays constant. In reality, many people who refinance also shorten their term or switch between principal-and-interest and interest-only — both of which change the numbers.

What this doesn't include

  • Refinancing costs. Some loans have discharge or break fees. The new lender may charge application, valuation or settlement fees. These costs can offset your savings, especially in the first year or two.
  • LMI on refinance. If your LVR is still above 80%, refinancing may trigger a new LMI premium. However, if you're refinancing with the same LVR and the same lender panel, some insurers will port the existing LMI certificate. We'll check this for you.
  • Rate changes. If the new rate is variable, it will move over time. The calculator holds it constant for the full term.
  • Cashback offers. Some lenders offer cashback incentives to refinance — typically $2,000-$4,000. These aren't included in the calculator but can meaningfully improve the first-year value of a switch.
  • Package benefits. Some loans bundle offset accounts, fee waivers or rate discounts on other products. These aren't captured in a rate-only comparison.

When refinancing is worth it: a common rule of thumb is that if the new rate is at least 0.25% lower and you plan to hold the loan for more than two years, the savings usually outweigh the switching costs. But the real answer depends on your loan size, remaining term and the specific fees involved. We'll run the full comparison for you.

Common questions

It depends on your loan size, the rate difference, and your remaining term. On a $500,000 loan with a 0.70% rate difference over 25 years, the saving can be around $200-$250 per month and over $60,000 in total interest. Use the calculator to estimate your specific numbers.

It can. Discharge fees from your current lender, application or settlement fees from the new lender, and possibly LMI if your LVR is above 80%. Some lenders offer cashback incentives that offset these costs. We'll show you the full cost-benefit before you decide.

If your LVR is above 80%, refinancing may trigger a new LMI premium. However, some LMI insurers will port the existing certificate to the new lender, which can reduce or eliminate the cost. We'll check whether this is possible for your loan.

Typically two to four weeks from application to settlement, depending on the lender and how quickly your documents are ready. We handle the process end-to-end, including liaising with both lenders.

Ben Mars

Mortgage broker, Independent Mortgage Broker

Ben Mars is the broker behind Independent Mortgage Broker, working with clients across the St George, Bayside and Sutherland Shire areas from Sans Souci, and arranging finance Australia-wide. He compares more than 60 lenders and is not owned by, or aligned to, any bank.

Credit Representative 551447 under Australian Credit Licence 384324. Independent Mortgage Broker is a trading name of LNB Finance Pty Ltd, ABN 83 668 176 083, and is subject to the Best Interests Duty. Both licence numbers are publicly searchable on ASIC Connect. Read our Credit Guide.

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