- ^ Monthly repayments for the interest only term is calculated by multiplying the starting net loan balance by the variable interest rate, divided by 12. In reality, interest is calculated daily and charged monthly, and could vary depending on the daily net loan balance, interest rate and number of days in each month – they are therefore actually likely to be less for accounts with an offset sub-account balance, and will decrease as the loan is paid off over time.
- Nano’s monthly repayments are deducted from the offset sub-account at the end of each month. It is assumed that regular contributions are made to the offset sub-account to cover the minimum monthly repayments on the repayment due date. Extra monthly contributions are any payments into the offset sub-account above these regular contributions and are also made at the end of the month. The loan is considered paid off when the net loan balance equals zero.
- Principal and Interest repayments are calculated using the PMT formula which assumes the same number of days in each month, and the interest rate does not change over the loan term. In reality, Principal and Interest repayments could be slightly different and are dependent on a range of factors including the settlement date, daily net loan balance, interest rate and the number days in each month.
- For interest only loans, after the interest only period, it has assumed that the loan will revert to the equivalent principal and interest rate and repayments for the remainder of the loan term.
- The outputs of this calculator are based on the information you provided and uses the home loan amount, term, interest rate, starting offset sub-account balance and extra monthly contributions you entered. Nano has assumed the following: monthly repayments and no fees and charges.
- The actual savings, reduction in loan term by using the offset sub-account, repayment amount, and other outputs of the calculator may differ from the estimate provided. This is a comparison tool only and not an offer of a home loan. Please consider whether this home loan is appropriate for you having regard to your objectives and needs and seek independent advice for any financial, tax or legal questions.