Glossary

Glossary of terms and acronyms related to Australian banking, finance and investments.

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Switching Fee

The switching fee, also called the processing fee or handling charge, is charged to borrowers who wish to switch from one type of loan to another. This usually does not cover split loans and some special offers, where the switch is scheduled after the introductory period. It is meant to cover the costs of changing your plan and the adjustments in interest and ongoing fees. Not all banks charge a switching fee; some allow a number of free switches while others charge it only when you have a choice on where your money is invested.

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