Low Equity Margin (LEM) is an interest margin that applies when you borrow more than 80% of your property's value. The actual LEM charged depends on the loan to value ratio (LVR) which is calculated as total borrowings divided by the total value of the security property.

This amount varies. For further details please call 0800 500 400. Use the below table to estimate the amount of your LEM.

At any time six months after the date of initial drawdown you may request a reduction or removal, as the case may be, of the Low Equity Margin applicable to a facility. We can choose whether or not to approve your request. We will determine such request on the basis of your applicable LVR at the date of such request. To make such determination we may require you to provide us with a current registered valuation of the relevant property or properties at your expense.

We will periodically review your Low Equity Margin against your LVR to ensure it is still applicable to your Facility. We may change your Low Equity Margin to a lower margin in accordance with our Low Equity Margin Bands or remove the Low Equity Margin entirely if it no longer applies based on your LVR.

We will notify you in writing of any change to, or removal of, your Low Equity Margin as the case may be.

Home loan terms and conditions: BankDirect lending criteria, terms and fees apply. Interest rates are subject to change. A loan processing fee of $400 may apply. An early repayment adjustment fee may apply. A Low Equity Margin may apply.

*A minimum of 20% deposit or an LVR of 80% or less in the security property applies. These specials do not apply to loans for business purposes, bridging loans, or other BankDirect discounts.

FlexiLoan Home Loans: The Variable Rate applies to all FlexiLoan and FlexiLoan Reducing facilities documented before 31 October 2016.

Personal loan and Overdraft terms and conditions: BankDirect lending criteria and terms apply. An establishment fee of $15 applies for Overdrafts and $250 may apply to Personal loans. A PPSR(security registration fee) of $25 will apply for secured Personal Loans.

A personal loan cannot be used for business purposes. A personal loan for debt consolidation cannot be used to repay an existing BankDirect personal loan.

**When you default on any of your loans and the deduction account is overdrawn or in excess of an agreed overdraft limit. The interest will be calculated daily on the overdrawn amount, or the amount in excess of the agreed limit, at the Unarranged Overdraft interest rate until paid in full.