MORTGAGE TYPES
Your income is paid directly into the facility, reducing the balance owing and the interest charged. As you need funds, you can draw them back out at any time, making it a highly flexible way to manage your lending.
Interest is accrued on a daily basis on the outstanding balance and charged monthly, meaning the more you reduce the balance, the less interest you pay. The interest rate is floating/variable and moves with market conditions, but the key benefit is control due to the fact that you can repay and redraw funds as needed without restrictions/penalties.
Revolving credit is often used strategically to help reduce interest faster, manage cashflow, or hold funds for short-term goals such as renovations or upcoming expenses. It can be particularly useful for those with variable income or anyone wanting greater day-to-day control over their finances.
It’s important to remain disciplined with this type of facility, as there is no set principal repayment and no defined loan term… meaning without a clear plan, the balance can remain outstanding longer than intended.
Draw funds up to your approved limit whenever you need them, just like an overdraft.
Perfect for irregular income earners — access funds when cashflow is tight.
Only pay interest on what you've drawn, and reduce it by depositing surplus funds.
The interest rate is variable and will fluctuate with the market.
Revolving credit requires discipline to manage effectively — it’s important to have a clear plan for how you’ll use the facility.
At Caldwell Mortgage Advisers, we:
We assess whether revolving credit aligns with your financial situation and goals.
We compare revolving credit facilities across lenders for the best terms.
We help you structure the facility so it works effectively for your needs.
Ready to explore revolving credit options? Get started today.
