What is an Offset Account?
An Offset Account is an everyday savings bank account which is linked to your home loan. The money you deposit into your Offset Account can be used to reduce the interest you pay on your mortgage while giving you total access to Offset Account funds anytime.
What is a Redraw Facility?
A Redraw is a feature of some home loan products which allows you to make extra repayments on your mortgage but also enables you to withdraw the extra repayments you have made over time.
Any repayments above the minimum amount will go to your redraw facility. The funds in your redraw account can be accessed at a later stage if needed.