Grant Clifton

And I commonly see it where someone's got a half a million dollar mortgage and they've got 50 grand or 60 grand sitting in a completely different bank.

Yeah, instead of sitting it in that offset to offset some of your interest, right?

Yeah, so if you've got a mortgage, just use one bank and put all of that money into an account that's linked into an offset account.

It's quite simply, you know, if you've got $100,000 in cash sitting in five different banks and it's not against your offset, you know, and at the moment interest rate's 6%, that's costing you $6,000 a year.

Yeah.

Not on car loans.

Not on car loans.

Offset's only really for mortgages.

I don't know what finance contract you've got or whatever.

I can have a look at it if you want.

But typically on car loans, it's not.

You just make a set payment.

So with car finance, that's called front-end loading.

They front-end load the interest.

So when you do your contract, if you borrowed $30,000, they'll work out the interest for the three or four years or five years or whatever you borrowed it.

And they add the interest on top and work out the payments on that.

But you can pay it off whenever you like.

There might be some little penalty clause in there.

Yeah, they'll sting you somehow.

One day I'll fucking pay them off.