Mac Bank and QFF team up for points on Mortgages

[markis10]

Qantas Frequent Flyer and Macquarie Bank have announced a new offering that will allow borrowers to earn Qantas Points through their mortgages.
Home owners will be able to get more value in terms of earning Qantas Points on their home loan, both at the time of settlement and for each month for the duration of the loan.
The new Macquarie Bank Flyer Home Loans will offer the mortgage holder 10,000 Qantas Points for every A$100,000 drawn down at settlement (calculated to the nearest point), and - if the outstanding loan balance remains at or above $150,000 - 1,000 points each month for the life of the loan and an extra 25,000 bonus points at both the third and fifth year anniversary of the loan.
It means a home loan of A$350,000 will earn 35,000 points at the time of settlement which is enough to redeem a business class flight from Sydney to Melbourne return (32,000 points plus $69.94 fees, charges and taxes) or an economy class flight from Sydney to Hamilton Island return (24,000 points plus $103.57 fees, charges and taxes).
The points can also be used to buy goods via the online Qantas Store or wine from Qantas epiQure.
Qantas Loyalty CEO, Lesley Grant, said the Macquarie Flyer Home Loans are an exciting way for our members to earn Qantas Points.
“We are pleased to extend the partnership between Macquarie Mortgages and the Qantas Frequent Flyer program, which began in 2001. It’s yet another way our members can earn points and in this case, a significant volume of Qantas Points in one transaction given the amount of money involved in mortgages.

http://www.qantasnewsroom.com.au/me...unce-new-qantas-points-and-mortagage-offering

 

[lovestotravel]

Hmmmmmm I do like this idea

 

[Supersonic Swinger]

Faced with the options of:

- a home loan from Macquarie Bank at whatever terms they offer just to get a few QF Frequent Flyer points
- the lowest rate, most flexible home loan from any provider

I sure know which one I'd be picking.

 

[suparockin]

Faced with the options of:

- a home loan from Macquarie Bank at whatever terms they offer just to get a few QF Frequent Flyer points
- the lowest rate, most flexible home loan from any provider

I sure know which one I'd be picking.

It's also not that many points really.

 

[markis10]

It's also not that many points really.

Depends on your mortgage obviously but if its 500K

On settlement 50000, plus another 12000 over the year, over 5 years it would be 160000 points, thats a bit!

 

[Daver6]

I wonder what their interest rate is like.

Based on my experience with their credit cards though, I really should stay away.

 

[markis10]

I wonder what their interest rate is like.

Based on my experience with their credit cards though, I really should stay away.

[TABLE="width: 100%"]
[TR]
[TH="class: firstCol, bgcolor: #F6F6F6"]LOAN TYPE[/TH]
[TH="align: center"]LOAN AMOUNT[/TH]
[TH="align: center"]LVR[/TH]
[TH="align: center"]BORROWER RATE[/TH]
[TH="align: center"]COMPARISON RATE[SUP]2,5[/SUP][/TH]
[/TR]
[TR]
[TH="class: firstCol, bgcolor: #F6F6F6"]BASIC HOME LOAN[/TH]
[TD="align: center"]≥$750,000[/TD]
[TD="align: center"]≤ 80%[/TD]
[TD="align: center"]4.84%pa[/TD]
[TD="align: center"]4.84%pa[/TD]
[/TR]
[TR]
[TH="class: firstCol, bgcolor: #F6F6F6"]OFFSET HOME LOAN PACKAGE[SUP]3[/SUP][/TH]
[TD="align: center"]≥$750,000[/TD]
[TD="align: center"]≤ 80%[/TD]
[TD="align: center"]4.84%pa[/TD]
[TD="align: center"]5.21%pa[/TD]
[/TR]
[TR]
[TH="class: firstCol, bgcolor: #F6F6F6"]LINE OF CREDIT HOME LOAN PACKAGE[SUP]3[/SUP][/TH]
[TD="align: center"]≥$750,000[/TD]
[TD="align: center"]≤ 80%[/TD]
[TD="align: center"]4.84%pa[/TD]
[TD="align: center"]N/A[/TD]
[/TR]
[TR]
[TH="class: firstCol, bgcolor: #F6F6F6"]BASIC FLYER HOME LOAN[/TH]
[TD="align: center"]≥$750,000[/TD]
[TD="align: center"]≤ 80%[/TD]
[TD="align: center"]4.89%pa[/TD]
[TD="align: center"]4.89%pa[/TD]
[/TR]
[TR]
[TH="class: firstCol, bgcolor: #F6F6F6"]OFFSET FLYER HOME LOAN PACKAGE[SUP]3[/SUP][/TH]
[TD="align: center"]≥$750,000[/TD]
[TD="align: center"]≤ 80%[/TD]
[TD="align: center"]4.89%pa[/TD]
[TD="align: center"]5.26%pa[/TD]
[/TR]
[TR]
[TH="class: firstCol, bgcolor: #F6F6F6"]LINE OF CREDIT FLYER HOME LOAN PACKAGE[SUP]3[/SUP][/TH]
[TD="align: center"]≥$750,000[/TD]
[TD="align: center"]≤ 80%[/TD]
[TD="align: center"]4.89%pa[/TD]
[TD="align: center"]N/A[/TD]
[/TR]
[/TABLE]

 

[lovestotravel]

Faced with the options of:

- a home loan from Macquarie Bank at whatever terms they offer just to get a few QF Frequent Flyer points
- the lowest rate, most flexible home loan from any provider

I sure know which one I'd be picking.

So you have compared the Mac Bank rates and written them off have you ?.......

 

[Pinkmoose]

Depends on your mortgage obviously but if its 500K

On settlement 50000, plus another 12000 over the year, over 5 years it would be 160000 points, thats a bit!

Well 160, 000 points will get you return to Paris (From Sydney), which costs around $3000 (just doing a dummy booking on the Qantas website). However if you went with another lender that gave you 0.1% less interest over the first year of the loan, you would save $5000.
This meant you could pay for your ticket and still have $2000 spending money.

I know which one I would end up choosing.

 

[markis10]

Well 160, 000 points will get you return to Paris (From Sydney), which costs around $3000 (just doing a dummy booking on the Qantas website). However if you went with another lender that gave you 0.1% less interest over the first year of the loan, you would save $5000.
This meant you could pay for your ticket and still have $2000 spending money.

I know which one I would end up choosing.

I think you need to use your savings to buy a calculator, you are giving figures where there is 1 percentage point difference, not .1 of a percent difference which is $500 a year on a interest only loan.

 

[Pinkmoose]

OK. Point taken. I missed the "." in my calculations.

 

[markis10]

OK. Point taken. I missed the "." in my calculations.

All good, hopefully everyone does do their calculations to see if its worthwhile, knowing most AFFers they will, the good promos dont last for that reason!

 

[Supersonic Swinger]

So you have compared the Mac Bank rates and written them off have you ?.......

Yes, for the equivalent of my current loan I'd be paying 0.23% more interest per annum. On $500,000, that works out to be $1,150 per year. Even before ignoring the effect of compounding, I'd need my head read to be paying $5,750 over five years for 160,000 "Qantas Points" (as they are now calling them, removing "Frequent Flyer" from non-flying earn opportunities as the relentless march to a low value frequent shopper program thunders on...)

The 0.05% interest rate differential between their standard loan and the Qantas Flyer loan means that you pay $250 per year extra, or $1,250 over 5 years for 160,000. Which values each point at about .781 cents... which not coincidentally is the approximate rate your points convert to when you click the "View In Points" option when booking on the QF website and don't get an mASA. I'd rather have that extra come off my home loan rather than pay Qantas to hold the money over 5 years in the hope that then MASAs are still available and Classic Awards haven't become even more expensive or rarer.

 

[CaviAck]

Yes, for the equivalent of my current loan I'd be paying 0.23% more interest per annum. On $500,000, that works out to be $1,150 per year. Even before ignoring the effect of compounding, I'd need my head read to be paying $5,750 over five years for 160,000 "Qantas Points" (as they are now calling them, removing "Frequent Flyer" from non-flying earn opportunities as the relentless march to a low value frequent shopper program thunders on...)

The 0.05% interest rate differential between their standard loan and the Qantas Flyer loan means that you pay $250 per year extra, or $1,250 over 5 years for 160,000. Which values each point at about .781 cents... which not coincidentally is the approximate rate your points convert to when you click the "View In Points" option when booking on the QF website and don't get an mASA. I'd rather have that extra come off my home loan rather than pay Qantas to hold the money over 5 years in the hope that then MASAs are still available and Classic Awards haven't become even more expensive or rarer.

Not to mention for every cent less you owe the less interest you have to pay. Instead of accumulating points that are getting devalued over time...

 

[The Rok]

Might be of value to someone who negatively gears (shame on you) an investment property where the rate difference would be negligible.

 

[FrankC]

Wondering when they calculate the outstanding balance for the purpose of QF points - does it include those in the offset account?

 

[coles525]

Any members have this as their home loan?

Current rate seems 4.89%

Can't remember the fine details (joining, monthly, annual fees etc.), but may soon need to let a broker know who to go with (qff points, or cheaper one on the day of signing).

 

[clazman]

my broker..recommended against Mac bank... only for the reason they are painful to deal with and every client he has sent their way has had problems

 

[OzEire]

I had an approved Mac homeloan which was almost funded but I decided not to proceed based on some shoddy customer service over my Platinum credit card. Mac experience was so bad that I really feel I dodged a bullet.

The Mac QFF loan was 4.99 at the time, and I got a 3.99 elsewhere!