Formerly known as Credit Union Australia, Great Southern Bank was renamed in 2021 and currently provides banking services to more than 400,000 Australians.
The bank had its origins almost 80 years ago when it saw the opportunity to take on the banking establishment, providing responsible and affordable lending as Australia rebuilt its post-war economy.
Today, Great Southern Bank represents the amalgamation of more than 170 smaller credit unions to form one of Australia’s largest customer-owned banks.
The bank said it still prioritises empowering its customers on their financial journeys and remains committed to helping all Australians own their own homes.
It boasts a branch network covering the east coast of Australia and Perth, as well as an Australian-based call centre.
Although Great Southern Bank offers more services than just lending, it is particularly proud of its award-winning home loans.
Flexible home loans
Great Southern Bank offers a range of home loan products for owner occupiers, first home buyers, and investors with both fixed and variable rates.
“[This includes] our Basic and Offset Loans, as well as one-, two-, three-, and five-year fixed rate options, which you can easily apply for online,” a Great Southern Bank spokesperson told Savings.com.au.
“We’re also strong supporters of government-backed schemes to help people buy homes, helping thousands of Australians to realise their home ownership dreams.”
See also: First Home Buyer Loans & Grants
See also: Family Home Guarantee: A Guide
Great Southern Bank’s Basic Variable home loan comes with no monthly fees and offers unlimited extra repayments and a free redraw facility when withdrawing at least $200.
The bank also offers a Variable Offset home loan with a 100% multi-account offset, unlimited extra repayments, split loan options, and free redraw facility.
For its fixed rate loans, Great Southern Bank provides the option to make extra repayments of up to $30,000 during the fixed term with access to a redraw facility. There are also interest-only options available.
The bank said industry research shows its home loan customers saved an average of more than $2,100 in the year to 30 June 2024 by choosing Great Southern Bank for their home loans over the Big Four banks.
Check out some of Great Southern Bank’s home loans for owner occupiers in the table below:
| Lender | Home Loan | Interest Rate | Comparison Rate* | Monthly Repayment | Repayment type | Rate Type | Offset | Redraw | Ongoing Fees | Upfront Fees | Max LVR | Lump Sum Repayment | Additional Repayments | Split Loan Option | Tags | Features | Link | Compare | Promoted Product | Disclosure |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
5.99% p.a. | 7.47% p.a. | $2,995 | Principal & Interest | Fixed | $0 | $835 | 95% | |||||||||||||
6.09% p.a. | 7.20% p.a. | $3,027 | Principal & Interest | Fixed | $0 | $835 | 95% | |||||||||||||
6.09% p.a. | 7.79% p.a. | $3,027 | Principal & Interest | Fixed | $0 | $835 | 90% | |||||||||||||
6.14% p.a. | 7.68% p.a. | $3,043 | Principal & Interest | Fixed | $0 | $835 | 95% | |||||||||||||
6.14% p.a. | 6.20% p.a. | $3,043 | Principal & Interest | Variable | $0 | $835 | 70% | |||||||||||||
6.14% p.a. | 6.20% p.a. | $2,558 | Interest-only | Variable | $0 | $835 | 70% | |||||||||||||
6.19% p.a. | 7.48% p.a. | $3,059 | Principal & Interest | Fixed | $0 | $835 | 90% | |||||||||||||
6.19% p.a. | 6.25% p.a. | $2,579 | Interest-only | Variable | $0 | $835 | 70% | |||||||||||||
6.19% p.a. | 6.25% p.a. | $3,059 | Principal & Interest | Variable | $0 | $835 | 70% | |||||||||||||
6.24% p.a. | 8.03% p.a. | $3,075 | Principal & Interest | Fixed | $0 | $835 | 90% |
‘Customer-friendly’ features
With features such as its 100% offset accounts and free redraw facilities, Great Southern Bank said its home loan products are designed to help borrowers “pay off their loans much sooner.”
“[Our home loans] are backed by a range of intuitive tools to help our customers save smarter, not harder,” the spokesperson said.
The bank offers its ‘The Boost’ option as an example, saying the opt-in feature enables customers to pay down their home loan every time they spend.
“Customers can set an amount between $0.01 and $5 to automatically transfer to their home loan account every time they use their Great Southern Bank debit card,” the spokesperson said.
The Boost function can be turned on and off as required and if there’s not enough in the debit account, the extra top-up won’t come out.
Likelihood of recommendation ‘far higher’ than Big 4
When asked why someone should choose a Great Southern Bank home loan over a loan offered by one of the big four, the bank’s spokesperson said Great Southern’s products and services are commonly found in the top five in market reviews.
“At the same time, our Net Promoter Scores – a key indication of how likely our customers are to recommend us – are consistently far higher than any of the big four banks, thanks in part to our products, our great customer service, and our onshore call centres,” the spokesperson said.
“But don’t just believe us: our products consistently win major industry awards.”
Among the considerable list is an Australian Banking Innovation Award for the most innovative mutual in 2019 and a DBM Australia Financial Award for most recommended first home buyers' loan in 2023.
So, let’s get down to the loan application process.
How to apply with Great Southern Bank
To apply for a Great Southern Bank home loan or pre-approval for a home loan, you must be:
-
At least 18 years of age
-
A permanent resident of Australia
-
Applying for yourself or as a married/de facto couple
-
Buying a property or switching from another bank
If you fit the criteria, you’ll need the documents listed below to apply online or over the phone with a lending specialist to begin your application.
Documents needed
-
100 points of ID (e.g. drivers' licence, passport, Medicare card)
-
Proof of income (e.g. payslips, most recent payment summary, shareholding statements)
-
Details of savings and assets (e.g. savings account or term deposit account details, share investment statements)
-
Details of other loans and expenses (e.g. loan statements, utility bills, credit cards)
-
Loan purpose (e.g. contract of sale, copy of transfer of land, builder’s quote or tender)
-
Loan statements (if you’re refinancing)
-
Insurance documents (e.g. home and contents, life insurance)
Note: This is a general guide only and other documentation may be required depending on individual circumstances.
Savings.com.au’s two cents
As a customer-owned bank, Great Southern Bank offers competitive interest rates on its home loans and a range of borrower-friendly features.
This includes a 100% multiple-account offset on its Offset Variable loan and the flexibility to pay up to $30,000 in extra repayments on a fixed-rate loan during the fixed-term period with free redraws.
The bank’s loans also come with a split loan option for those wanting the best of both worlds.
Great Southern’s ‘The Boost’ feature also provides a unique way of paying down your home loan without you thinking too much about it.
Its fees are fairly transparent for all home loan options but, as always, it pays to read the fine print to be certain on how other fees may be applied.
Great Southern Bank also offers a branch network for customers who prefer to do their banking - or some of their banking - in person, as well as an Australian-based call centre.
First published on February 2022
Image by Fidel Fernando on Unsplash
Ready, Set, Buy!
Learn everything you need to know about buying property – from choosing the right property and home loan, to the purchasing process, tips to save money and more!
With bonus Q&A sheet and Crossword!
Harry O'Sullivan
Harrison Astbury
Bernadette Lunas
Alex Brewster
Denise Raward
