Adelaide Bank

Established in 1984 and originating from the Co-operative Building Society of South Australia, Adelaide Bank has become on the of the most trusted banks outside the big four.

Adelaide Bank was one of the pioneers of working with mortgage brokers to help borrowers secure a home loan and significantly grew its market share in this space between 2000 and 2007.

The bank was also one of the pioneers in creating unique home loan solutions, aggressive lending policies and was one of the first in the low doc loan space.

While Adelaide Bank developed strong relationships with brokers and became a wholesale funder for lenders including Aussie Home Loans, Mortgage House, Homeloans Ltd, National Mortgage Company and Better Mortgage Management, it was hit hard by the GFC during 2007-2009 and had to rethink its lending policies.

Since the GFC, Adelaide Bank has taken a more conservative approach to its lending policies.

Adelaide Bank merged with Bendigo Bank to form Bendigo and Adelaide Bank Limited in 2007.

Bendigo and Adelaide Bank Limited now a publicly listed, top 100 ASX company. with more than 110,000 shareholders.

We will focus solely on Adelaide Bank here, which offers a range of products including three home loan products and two personal accounts, as well as commercial loans and insurance products.

Adelaide Bank is one of Australia’s largest banks and is focused on helping customers and communities achieve their financial goals.

Adelaide Bank

Established in 1984 and originating from the Co-operative Building Society of South Australia, Adelaide Bank has become on the of the most trusted banks outside the big four.

Adelaide Bank was one of the pioneers of working with mortgage brokers to help borrowers secure a home loan and significantly grew its market share in this space between 2000 and 2007.

The bank was also one of the pioneers in creating unique home loan solutions, aggressive lending policies and was one of the first in the low doc loan space.

While Adelaide Bank developed strong relationships with brokers and became a wholesale funder for lenders including Aussie Home Loans, Mortgage House, Homeloans Ltd, National Mortgage Company and Better Mortgage Management, it was hit hard by the GFC during 2007-2009 and had to rethink its lending policies.

Since the GFC, Adelaide Bank has taken a more conservative approach to its lending policies.

Adelaide Bank merged with Bendigo Bank to form Bendigo and Adelaide Bank Limited in 2007.

Bendigo and Adelaide Bank Limited now a publicly listed, top 100 ASX company. with more than 110,000 shareholders.

We will focus solely on Adelaide Bank here, which offers a range of products including three home loan products and two personal accounts, as well as commercial loans and insurance products.

Adelaide Bank is one of Australia’s largest banks and is focused on helping customers and communities achieve their financial goals.

SmartFix

Variable
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SmartFix

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SmartFix interest only

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SmartFix interest only

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SmartSaver 80%

Variable
Rate 2.24
Comparison
Rate 2.28

SmartSaver 80%

Variable
Rate 2.59
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Rate 2.63

SmartSaver 90%

Variable
Rate 2.79
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Rate 2.83

SmartSaver 90%

Variable
Rate 2.99
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Rate 3.03

SmartSaver Fixed

Variable
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SmartSaver Fixed

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SmartSaver Fixed Interest Only

Variable
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SmartSaver Interest Only

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Rate
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SmartSaver Interest Only 80%

Variable
Rate 2.99
Comparison
Rate 2.58

SmartSaver interest only 80%

Variable
Rate 2.94
Comparison
Rate 2.76

Variable SmartFit 80%

Variable
Rate 2.24
Comparison
Rate 2.48

Variable SmartFit 80%

Variable
Rate 2.59
Comparison
Rate 2.83

Variable SmartFit 90%

Variable
Rate 2.79
Comparison
Rate 3.02

Variable SmartFit 90%

Variable
Rate 2.99
Comparison
Rate 3.22

Variable SmartFit Interest Only 80%

Variable
Rate 2.99
Comparison
Rate 2.76

Variable SmartFit Interest Only 80%

Variable
Rate 2.94
Comparison
Rate 2.93

Variable SmartFit Interest Only 90%

Variable
Rate 3.23
Comparison
Rate 3.16

Variable SmartFit Interest Only 90%

Variable
Rate 3.23
Comparison
Rate 3.28

Adelaide Bank Home Loans

To keep things simple, Adelaide Bank offers three home loan products to help you buy or refinance your home: SmartSaver, SmartFix and SmartFit.

1. SmartSaver

The SmartSaver Home Loan is Adelaide Bank’s no-frills home loan that allows you to choose between variable and fixed interest rates and redraw funds. There is no monthly fee on this loan and you can choose between Principal and Interest or Interest Only payments. Extra repayments can be made. You can make unlimited repayments on the variable rate or up to $20,000 per annum if you have a fixed rate.

Fast facts:

  • Loan term: 5-30 years
  • Minimum loan amount: $5000
  • Maximum Loan amount: Varies depending on LMI provider
  • Application fee: $299
  • Settlement fee: $199
  • Administration fee: $0
  • Split loans: Yes
  • Loan to value ratio: Up to 95%* Owner Occupied – Principal and Interest. Up to 80%* Owner Occupied – Interest Only. Up to 90%* Investment – Principal and Interest (including LMI). Up to 80%* Investment – Interest Only
  • Repayment frequency: weekly, fortnightly, monthly.
  • Credit increase: Yes. Minimum amount is $10,000.

2. SmartFit

Adelaide Bank’s SmartFit Home Loan is suitable for a range of requirements including for first home buyers, investors, refinancers and those who need bridging loan or a construction loan. This loan offers a competitive variable interest rate and a 100% offset account. Additional repayments can be made without penalty and you can choose between Principal and Interest or Interest Only repayments.

Fast facts:

  • Loan term: 5-30 years
  • Minimum loan amount: $10000
  • Maximum Loan amount: Varies depending on LMI provider
  • Application fee: $299
  • Settlement fee: $199
  • Administration fee: $15 per month
  • Split loans: Yes
  • Loan to value ratio: Up to 95%* Owner Occupied – Principal and Interest. Up to 80%* Owner Occupied – Interest Only. Up to 90%* Investment – Principal and Interest (including LMI). Up to 80%* Residential Investment – Interest Only, Up to 90%* Interest Only Construction (Interest Only for first 12 months).
  • Repayment frequency: weekly, fortnightly, monthly.
  • Credit increase: Yes. Minimum amount is $10,000.

3. SmartFix

This is Adelaide Bank’s fixed home loan product, which allows you to lock in your interest rate for an agreed fixed period of time between one and five years. The loan offers a 100% offset facility, redraw facility and additional repayments up to $20,000 per annum without charge. You can choose between Principal and Interest or Interest Only repayments.

Fast facts:

  • Loan term: 5-30 years
  • Minimum loan amount: $10000
  • Maximum Loan amount: Varies depending on LMI provider
  • Application fee: $299
  • Settlement fee: $199
  • Administration fee: $15 per month
  • Split loans: No
  • Repayment frequency: Weekly, fortnightly, monthly.
  • Credit increase: No.

Adelaide Bank Personal Banking Products

You can access your savings two ways through Adelaide Bank’s personal banking products. The bank offers two personal accounts: MyEveryday account and MySaver account, as well as a Term Deposit product.

1. MyEveryday account

The MyEveryday account is a low fee, everyday transaction account available to Adelaide Banks’s existing customers. You can access your money anywhere Visa is accepted, including online, overseas and over the phone. It only costs $1 to open and you only need $1 in your account to keep it open. A Visa debit card is supplied with this account. You can enjoy a range of fee free transactions, including ATM withdrawals, BPay payments, online transactions, direct credits and more. Fees do apply for international withdrawals and balance enquiries ($4) and branch withdrawal or transfer – $2. A $10 fee applies for bank cheque withdrawal.

2. MySaver account

This is an at-call (access your money as soon as it has been deposited) savings account with a higher interest rate than the MyEveryday savings account. Access to this account is predominantly through online banking. There are no monthly fees and the more you save, the more you earn. You need $500 to open the account and $500 in the bank to keep it going. The same fee-free transactions apply as the MyEveryday account, however fees still apply for certain transactions, but are for less regular transactions or requests.

3. Term Deposit

Like any tern deposit product, Adelaide Bank’s Term Deposit offers higher interest rates over fixed terms. Terms available are for 30 days to five years. You need a minimum opening balance of $5000 and a minimum operating balance of $1000. The minimum transaction is also $1000. There are no monthly fees and you have the peace of mind that your money will accrue interest over your designated term, meaning you can sit back and watch your savings grow.

Commercial Loans

If you are looking to purchase commercial property, Adelaide Bank offers two loan types: Full Doc and Simple Doc.

1. Full Doc

To take out a full doc loan, you will need to prove your financials including income. This loan comes with a lower interest rate.

Features include:

  • Loan terms up to 25 years
  • No annual reviews for loans under $900,000
  • Choice of variable or fixed interest rates.
  • Interest only options available up to five years

2. Low Doc

With the Simple Doc loan there is no need to provide financials, tax returns, BAS or accountant letters.

Features include:

  • Loan terms up to 25 years for total loans per borrowing group up to $900,000
  • No scheduled reviews for loans up to $900,000
  • Choice of variable or fixed interest rates.
  • Interest only options available up to five years
  • The lease to an unrelated tenant to have at least 12 months to run at time of formal loan approval.
  • Cash out options

Pros

  • Good customer service
  • Flexible construction loans
  • Fixed rates with 100% offset accounts
  • Bridging loans

Cons

  • Lending policies can be strict
  • High fees for certain products
  • High interest rates for certain products
  • Expensive LMI
  • No loans for newly minted self-employed
  • No second mortgages
  • Family pledge/ guarantor loans
  • Can’t do foreign mortgages