All Topics / Finance / checking if bank charges the interest correctly?

Viewing 16 posts - 1 through 16 (of 16 total)
  • Profile photo of eliseyelisey
    Participant
    @elisey
    Join Date: 2009
    Post Count: 40

    Hi All,

    I would like to ask if you guys check if the bank charges the interest correctly?

    Is there any calculator which I can use to calculate the interest for offset acc?

    Thank you

    Profile photo of Jamie MooreJamie Moore
    Participant
    @jamie-m
    Join Date: 2010
    Post Count: 5,069

    I remember a post ages ago about a software program that audits bank statements for this sort of stuff. If you do a search you may be able to find it.

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of s0805s0805
    Participant
    @s0805
    Join Date: 2006
    Post Count: 85

    Hi,

    I am not sure if Jamie is referring to these links, but checkout the below link….

    1) http://www.interestguardian.com/ ( I think this is free)

    2) http://www.interestguardian.com/ (this needs software)

    I normally do the calculation every month, but i prefer to do it my excel spreadsheet.

    cheers

    Profile photo of eliseyelisey
    Participant
    @elisey
    Join Date: 2009
    Post Count: 40

    Thanks Jamie & s0805.

    Yeah, this is something I am looking for….. Thanks heaps

    Thanks again!

    Profile photo of Jamie MooreJamie Moore
    Participant
    @jamie-m
    Join Date: 2010
    Post Count: 5,069

    Yep, so805 is on the money. That's what I was thinking of.

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of CattleyaCattleya
    Participant
    @cattleya
    Join Date: 2008
    Post Count: 121

    I did try to calculate as well, just to ensure the calculations are correct. Tried it a few times, seemed ok so I stopped counting. Do you guys check regularly?

    Elisey, would be interested to know how you go, whether there is any mistake.

    Thanks,
    Catts

    Cattleya

    Here to learn the ropes of property investing & share knowledge, not trying to sell anything at all.

    Profile photo of s0805s0805
    Participant
    @s0805
    Join Date: 2006
    Post Count: 85

    Hi Catts,

    I checked this every month for all of my loans…..happy to say that never found any mistakes…..but i prefer to do it regardless…..

    It also gives me understanding how much offset is saving me on interest for particular month……and how long will it take based on offset savings to pay off the loan etc….

    Cheers

    Profile photo of eliseyelisey
    Participant
    @elisey
    Join Date: 2009
    Post Count: 40

    Hi Catts,

    I normally dont check it. But for last month, there is a big jump of about $80 on the interest repayment compared to the previous 2 months. The interest rate stays the same for the past 2 or 3 months, I just dont understand why,  as the interest should be more or less the same, shouldn't be the huge difference.

    I use the software as recommended above, I still cant get the rate right.

    I also try to use excel spreadsheet, which turn out that the figures are the same as the software.

    Then I use other statements to check, those are only abt 20cents to 30cents difference which is still acceptable.

    So may need to clarify with bank.

    Profile photo of eliseyelisey
    Participant
    @elisey
    Join Date: 2009
    Post Count: 40

    Was told that bank calculate interest on daily basis and it depends on when they close the account. The statement date may not be the date they close the account.

    ie: Statement date 1/4/13 to 30/4/13

    But due to long easter break, the interest is calculated from 28/3/13 to 30/4/13.

    Profile photo of Jamie MooreJamie Moore
    Participant
    @jamie-m
    Join Date: 2010
    Post Count: 5,069

    Yep – it's the daily interest calculations and fluctuations in the number of days in the month that will cause variations in your monthly repayments. That's why Feb repayments are usually lower than other months.

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of schesterfieldsschesterfields
    Member
    @schesterfields
    Join Date: 2013
    Post Count: 3

    Oh wow, those were helpful.. thanks! :)

    Profile photo of keikokeiko
    Participant
    @keiko
    Join Date: 2008
    Post Count: 513

    I have been over charged several times and had money refunded, best to check although I rarely do. Due to check again actually 

    Profile photo of Tony FlemingTony Fleming
    Participant
    @the-dark-knight
    Join Date: 2008
    Post Count: 396

    This has definetly got me thinking. I got overcharged by $5k on LMI and they picked up on it like 8 months later and refunded it but this topic has definetly got me thinking to double check the interest.

    Tony Fleming | Triumphant Property Group
    http://www.triumphantpropertygroup.com.au
    Email Me | Phone Me

    NSW Buyer's Agent specialising in Western Sydney-Blue Mountains-Orange-Albury

    Profile photo of Jamie MooreJamie Moore
    Participant
    @jamie-m
    Join Date: 2010
    Post Count: 5,069

    I had one of the majors randomly debit $500 from my credit card once – the description for the transaction was a 5 digit number. After hassling them for a while, they conceded that they had accidently charged me for another customers settlement fee related to a property purchase in Sydney….lucky I bothered to check my statements.

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of s0805s0805
    Participant
    @s0805
    Join Date: 2006
    Post Count: 85

    i calculate the interest charged every month with simple excel spreadsheets….and glad that no issues so far….regardless i found that as very exercise..

    Profile photo of WhatIfWeFinanceWhatIfWeFinance
    Member
    @whatifwefinance
    Join Date: 2009
    Post Count: 58

    I have found some clients have had issues with offset accounts in the past and it never hurts to check

Viewing 16 posts - 1 through 16 (of 16 total)

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