The Latest Rate Cut Could Save You Nearly $50,000

Here’s How…

The Reserve Bank has just cut rates, and while that means a small drop in your minimum repayments, the real opportunity is much bigger.

On a $1 million loan, the cut could save you $150 a month if your bank passes it on. But if you keep paying the old amount instead of the new minimum, you’ll clear your loan around 14 months earlier and save $48,955 in interest.

For a $1.5 million loan, that saving jumps to $73,761; on $2 million, it’s $98,217.

Think of it as a guaranteed, tax-free return equal to your interest rate – without the risks of investing.

Who Should Act Now?

• Homeowners: Refinance or keep repayments steady to cut years off your loan.
• Business Owners with ATO Debt: Stop paying penalty interest you can’t even claim; restructure with a loan and free up cashflow.
• Upgraders: Lower rates mean you may be closer to your dream home than you think.
• Property Investors: Take advantage of cheaper borrowing to grow your portfolio and maximise long-term returns.

Another Option: Invest the Savings

If you’re comfortable with market risk, you could invest the monthly saving instead. Based on historic Australian sharemarket returns (about 8% p.a.):

• $150/month could grow to $143,755 over 25 years
• $226/month: $216,591
• $301/month: $288,468

The Bottom Line:

Whether your goal is paying off your mortgage faster, clearing business debt, buying your next home, or investing for growth – the key is acting while rates are in your favour.

👉 Want to save money on your mortgage? Looking to buy property and need a loan? Book your free Discovery Call with Sanna Tammilla, our Lending Specialist, today. She’ll run the numbers and show you exactly what’s possible.

Next Steps:

Clear Sky Financial provides financial advice. Where lending products are concerned, we work alongside our credit partner:

👉 Clear Sky Finance, our lending division, operates under Australian Finance Group Ltd (ACL 389087).

Important Information:

Clear Sky Financial Pty Ltd (ABN 36 634 263 148) is a Corporate Authorised Representative No.1299668 of InterPrac Financial Planning Pty Ltd (Australian Financial Services Licence Number 246638). Clear Sky Finance Pty Ltd (ACN 679 620 716) is authorised under Australian Finance Group Ltd ACN 066 385 822, Australian Credit Licence 389087.

The information in this document is true and correct at the time of publication. It is general in nature and does not take into account your objectives, financial situation or needs. Before acting on this information, consider whether it is appropriate to you, and seek personalised advice where required.