Couple saves $1,500 a month thanks to Resimac Specialist Clear

 

Paul and Mary Vlahov* are a married couple living in Fremantle, Western Australia. Here is how Resimac helped them overcome their many debts and greatly reduced their monthly loan commitments.

Paul is a self-employed mechanic while Mary runs a food truck business.

The couple have a sizeable mortgage and are feeling the pinch of high interest rates across all their loans.

Paul has used credit cards and personal loans to further his business. He also has a weakness for fast cars, and has used personal loans to get his hands on vehicles he could not otherwise afford.

Mary has been trying to maximise sales from the food truck business. She has taken a number of personal loans for vehicle and equipment upgrades.

In addition, the couple have taken cash out of their home loan for renovations.

Here are their current debts:

Debt type	Value
Cash out for home renovations 6.9 per cent interest	$77,478
Credit card 19.99 per cent interest	$3,032
Credit card 19.99 per cent interest	$700
Personal loan 12.50 per cent interest	$9,500
Personal loan 13.99 per cent	$51,000
Personal loan 11.99 per cent	$15,000
Personal loan 14.99 per cent	$20,000
Mortgage loan 6.9 per cent interest	$425,000

 

The couple are paying $6,700 per month on repayments.

While the Vlahovs' self-employed status and many loans is an impediment to refinancing with a bank, their broker knows Resimac offers a range of Specialist products that are flexible and cater to self-employed borrowers.

The broker is also aware that one of the features of the Resimac Specialist Clear product allows for unlimited debts to be consolidated. This is just what the Vlahovs need.

The broker consolidates all the debts into a home loan using the Specialist Clear product.

Based on the Vlahovs' circumstances, they are now making one repayment at a Specialist Clear Full Doc principal and variable interest rate of 6.49 per cent. This interest rate is based on the LVR band of 70.01 per cent to 80 per cent^.

Most importantly, debt consolidation has lowered their monthly repayment to $5,200. This solves their cashflow problem and provides more money to either repay the home loan sooner, or invest in their businesses.

* All names and occupations are fictitious and are for illustrative purposes only.

^ Interest rate is indicative only and subject to change at any time. The interest rate may differ depending on borrower category, security use and how much is borrowed relative to the value of the property. Terms and conditions apply to all loan features and may be subject to erelevant fees and charges, where applicable.  Final approval is subject to credit assessment.