Standard Bank Home Loans Access Bond

Standard Bank Home Loans
Access Bond

Home Loans have changed a lot in recent years, banks now offer home owners a range of different types of bonds. Each type of home loan has its advantages and disadvantages, and therefore to ensure you’re making the right choice you’ll need to know what each product offers.

Types of Home Loans: Access Bonds

Standard Bank’s AccessBond offers property owners a unique and effective money management facility. The Access Bond allows you to access any surplus funds in your home loan account. With this home loan product you’ll be able to deposit into and withdraw any extra funds from your mortgage account to any linked account.

The benefits of an Access Bond:

Because interest on a home loan is calculated daily, one of the main advantages to having an access bond is that by depositing some extra money into your account you will be able to reduce the amount of interest charged on your bond.

The extra funds are not locked into your bond though, when ever you need the surplus funds you’ll be able to simply withdraw it.

Savings Account or Access Bond

Why would you want to deposit extra funds into your Bond if you could put it into a Savings Account which will earn interest?

While you will be earning interest on any money saved in your bank account the interest charged on the outstanding amount on your bond is much higher. So it makes more sense to put those extra funds into your mortgage account and lower the amount of interest charged to it.

Remember, You’ll still be able to withdraw those extra funds whenever you need it.

Home Loan Tools:
Apply Online
Bond Calculator
Prime Interest Rate History

Do you have a question or Need more assistance?

For more assistance with regards to applying for Home Loan finance please contact one of our consultants.
Email: olen@propertyloans.co.za
Ph: 0861 111 563
or Complete This Request Form Online

Date Posted: Nov 16, 2005
In Categories: Home Loan Tips, Standard Bank Home Loans
Related Tags: access bonds

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4 Comments For This Post

Tseliso Says:
June 22nd, 2007 at 11:34 am

I would like to find out more information about access bonds, property tranfers and sales in general. Particularly involving a co- signing or principal signatory and eventual transfer of the propery to a beneficiary.

Need to know

Rudi Says:
August 15th, 2007 at 7:52 pm

Hi
I would like to know more about an Access bond.
What’s the difference between an access bond and normal bond?
Is the interest rate lower?
These are just a few questions I have.

Let me know if it can be answered.
Thank you
Rudi

allie Says:
October 5th, 2008 at 1:20 am

please confirm if im correct. i have a bond which = R750 000. THE HOUSE COSTS R800 000. I have 5 months to pay the R50 000 to the owner of the house. If I pay R10 000 per month to the bank for 5 months, this means i now owe the bank R700 000. BECAUSE I HAVE AN ACCESS BOND, does this mean that the bank will put in R50 000 into by account which will be availavle for me to withdraw and pay the owner his R50 000? am i understanding this correctly?

Mark Stevens Says:
November 3rd, 2008 at 10:56 am

Allie:
1) Sorry to break this to you but after 5 months you will not be owing the bank R700 000. With the system used it will be closer to R749 000 – seriously.

2)Assuming you are on prime rate of 15.5% your monthly payment should be around R10 000 so you will not be paying in anything extra so you should not be withdrawing funds out of your access bond. You should only take money out of your access bond if you had paid in extra else you’ll go into arrears.Not wise!
My humble advice: close all savings accounts and excess policies and put every extra cent into your bond or negotiate a better interest rate.

Tseliso Says:
June 22nd, 2007 at 11:34 am
I would like to find out more information about access bonds, property tranfers and sales in general. Particularly involving a co- signing or principal signatory and eventual transfer of the propery to a beneficiary.

Need to know
Rudi Says:
August 15th, 2007 at 7:52 pm
Hi
I would like to know more about an Access bond.
What’s the difference between an access bond and normal bond?
Is the interest rate lower?
These are just a few questions I have.

Let me know if it can be answered.
Thank you
Rudi
allie Says:
October 5th, 2008 at 1:20 am
please confirm if im correct. i have a bond which = R750 000. THE HOUSE COSTS R800 000. I have 5 months to pay the R50 000 to the owner of the house. If I pay R10 000 per month to the bank for 5 months, this means i now owe the bank R700 000. BECAUSE I HAVE AN ACCESS BOND, does this mean that the bank will put in R50 000 into by account which will be availavle for me to withdraw and pay the owner his R50 000? am i understanding this correctly?
Mark Stevens Says:
November 3rd, 2008 at 10:56 am
Allie:
1) Sorry to break this to you but after 5 months you will not be owing the bank R700 000. With the system used it will be closer to R749 000 – seriously.

2)Assuming you are on prime rate of 15.5% your monthly payment should be around R10 000 so you will not be paying in anything extra so you should not be withdrawing funds out of your access bond. You should only take money out of your access bond if you had paid in extra else you’ll go into arrears.Not wise!
My humble advice: close all savings accounts and excess policies and put every extra cent into your bond or negotiate a better interest rate.

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