Justbargains - the banks do make sure they get the share (and maybe a little of mine and a little of yours).
You break fee seem to be about right given what you can currently get on a fixed rate - Westpac is suppose to be offering 6.99%.
If all your loans had 6 years remaining, you would expect to net about $3k over 6 years ($17k per year in interest savings) if you fix at %6.99 - so there is really not much in it.
If you go variable and rates get down to 6%, then the savings are a bit better, about $30k per year or a net of nearly $90k over 6 years.
So what you would be doing is taking a bet (like you did earlier) about where interest rates are going. I'm with Kincella on this one - rates will be coming down a bit more. How much and for how long though, I'm not sure. I would take a look at your cash flow and net position to see if you need to ensure against an advers outcome. If you can finance the loan at your current rates but not at a higher rate, you may not want to change. If you wait to see which direction the rates are going, if its down its too late, the banks will increase your break fee to compensate.
