Your home loan is likely to be one of the biggest investments you have ever made. And, hopefully it has been a positive one – helping you buy a place you call home or an investment property.
But have you ever thought about what else your home loan is buying?
Over the life of your home loan, the interest you will pay adds up. For example, if you repay a $500,000 mortgage with an interest rate of 4% over 20 years, the total interest paid will be more than $220,000.
Just like every dollar you deposit into a savings account, every dollar you borrow and the interest you pay, goes somewhere and is used for something.
Where it goes and what it could be buying or supporting depends on your financial institution. If you haven’t asked your bank who it lends to or what businesses they invest in, you might want to.
If the answer includes industries that cause harm to people or the planet such as fossil fuels, weapons, tobacco and gambling, chances are that your mortgage is contributing to those investments.
That’s why where you bank matters. And, it’s why your mortgage can make a positive difference in the world.
Bank Australia offers an alternative. We are a profitable bank but, we don’t put profits before people. That’s why we have never and will never lend to the fossil fuel industry. We believe in responsible banking, so we don’t lend to industries that cause harm to people or the planet.
By moving your home loan to a bank that puts people and the planet before profit, you can ensure your money isn’t supporting industries that you don’t want your money to be supporting.
It takes just a few simple steps. Find out more.