Last month ANZ announced the removal of their long standing Breakfree Package to “simplify its home loan offerings”. This move has come amid regulatory pressure and stands to change the way over 350,000 customers bank with them.

A staple of their lending suite, the Breakfree Package has provided customers with an offset account and free credit card, along with discounts on linked products, in exchange for a $395 package fee – but also a higher interest rate than their basic product. From March, ANZ will be offering a simplified loan selection offering facilities free from ongoing fees, to streamline their available products.

So, what changes will Breakfree Package holders expect moving forward?

• The new product will be switched on or shortly after 10 September 2022
• No package fees will be charged after 9 September 2021
• Your existing interest rate discount will be honoured
• Your credit card fee waiver will cease
• Your offset account will incur a $10 per month fee
• Fee waivers on linked products, such as insurance, may cease to apply
• Account numbers will not change

From March, ANZ are now offering their Standard Variable, Fixed and Simplicity Plus Home Loans only so the package has now been removed from sale.

What do Breakfree Customers need to do?

All these changes will happen in the background and by September you will start to see your products revert to the updated versions. If you do nothing, that’s fine, it will tick along as normal, and your repayments will keep coming out as per your loan contract.

However, as a customer, it’s worthwhile to revisit how the changes impact your position and if this new structure is beneficial to you in the overall scheme of things. You might find that this change acts  as a catalyst prompting you to review how your facilities are tracking and if there are more appropriate options elsewhere. We encourage all ANZ customers to speak to their mortgage broker to gauge if these new products are still in alignment with your financial requirements and goals.

So, if you are an ANZ customer on a Breakfree Package, make it a priority to get in touch because peace of mind and saving money can simply be a phone call away to Blackburne Mortgage Broking team.