Home loan repayment options

Home loan repayment options to help manage your cashflow

If you’re a home owner or property investor, there are several ways you could ease your cashflow. One way is to adjust your repayment frequency or amount. Find out more.

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If you're experiencing financial hardship, find out how Westpac Assist can help.

Remember to consider all the options based on your individual needs and if there's an option that works for you, call us on the Westpac App or on 132 558. Having a conversation with us won’t affect your credit report or your ability to borrow in the future.

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Want to free up some extra cash? Consider reducing your home loan repayments to the minimum amount. You may be eligible if:

You have a variable rate home loan.
Your repayment type is principal and interest.
You are currently paying more than the minimum amount on your home loan.

What you need to know:

The duration of the loan (based on your home loan contract) remains the same to ensure your loan is repaid within the original term.
You can change your repayment option anytime via the Westpac App, or call 132 032.

You can change the repayment amount and frequency in a few simple steps using Online Banking or the Westpac App.

In the Westpac App

Search Direct Debit in the Smart Search bar
Tap the loan you want to adjust or manage
Select the account to be debited
Follow prompts to choose frequency and amount
Choose Direct Debit starting day. Based on your next contractual date and the starting day chosen, select starting date from options
Review and submit.

In Online Banking

Select your home loan
Select More > Manage direct debit
Select the loan you want to adjust or manage
Select the account to be debited
Follow prompts to choose frequency and amount
Choose Direct Debit starting day. Based on your next contractual date and the starting day chosen, select a starting date from options
Review and submit.

If the debit account is a joint account, any other account holders will need to approve this request within the next 5 days.

Once submitted and approved by all account holders, your request will be processed within 2 business days. You can find the details of this request in your message inbox. We’ll notify you once the request has been completed.

Any questions, call us on 132 558.

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Option 1: Switch to minimum repayments

Need some breathing space? If you’ve already made extra payments towards your loan, you could arrange to miss a payment or make a reduced payment.

How it works

You’ll continue to accrue interest while your repayments are missed or reduced.
The duration’s determined by the ‘available’ extra funds in your loan account.
No need for approval, but we’ll ensure the feature is set up on your account.

You could qualify if:

You’re ahead on your scheduled repayments
Your loan’s Fully Drawn.

For more info or to arrange a ‘holiday’, get in touch through the Westpac App or call  132 558.

Learn more about home loan repayments

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Option 2: Repayment Holiday

Going through a key lifestyle event, like parental leave? You could apply to lower your minimum repayments by up to 50% for up to 12 months.

How it works

Conditions, eligibility and suitability criteria apply.

At the end of the term, your minimum repayments will increase to ensure you repay your loan within its original term.
Interest is capitalised. This means whatever interest you would've normally paid during the Reduced Repayment term will continue to accrue and be added to the balance. So your outstanding balance will increase, and you'll pay more interest over the life of the loan.
You can use this feature up to twice during the life of the loan, and we’ll need to assess your eligibility.

For more info or to apply, get in touch through the Westpac App or call 132 558.