@financewithpn: What is an offset account, and how does it actually work? An offset account is a transaction account linked to your home loan. The money sitting in your offset can reduce the balance used to calculate interest. Example: Home loan: $500,000 Offset account: $50,000 Interest charged on: $450,000 Important point: your repayment usually does not reduce. Instead, because less interest is charged, more of your repayment may go towards reducing the principal. This can help you save interest and potentially pay off your loan faster, while still keeping access to your money. Want to discuss your home loan structure? DM me OFFSET and I’ll get in touch. Pankaj Nanglu Licensed Mortgage Broker #offsetaccount #homeloan #mortgagebroker #FirstHomeBuyer #refinance

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