I get your point; I have called and offered the bank this waiting for a call back. I guess if the rates where to be at 10% I would not be asking this questions. And would be happy with what I have.
My guess is that historically I have never seen a rate lower than 5.9% so if the rates where to go down to this rate I am loosing 2.3% per annum, that works out to $32,000. Now this depends how soon the rates can drop to the all time low, and will the banks pass on the savings. So the $32k might be at best $25k.
Now at the current rate I am paying .5% more than the current fixed rate. That’s about $7k per annum loss.
I spoke to RBA customer service and even he told me don’t listen to the media. LOL
As jonesw said its a gamble, the way I see it if I do it im exposed if I don’t I could pay more than I should, the down side is the time I have to finish the fixed rate, if I can hang in there for 4 more years, then what ever the rate may be then I will transfer to the variable. That means I get to pay the banks the 98k in small dribs, where if I brake today I pay the 98k then pay the interest on 1.5mil that’s an increase; I guess it’s a bit late now.
