Qantas Money has revolutionized the home loan market with their latest offering – a home loan that earns you 100K Qantas Points per year for the duration of your loan. This is a game-changer and sets a new standard for the highest Qantas Points earning home loan in Australia. Macquarie Bank used to offer a similar deal, but as of mid-July 2022, they discontinued their Qantas rewards program for home loans. With Qantas Money’s new offer, homeowners now have a fantastic opportunity to earn significant Qantas Points on their home loan. Let’s take a look at all the details below!
Image: Qantas Money
What is the Qantas Money Home Loan?
The Qantas Money Home Loan offers a competitive interest rate but the standout feature of this home loan is the yearly reward of 100K Qantas Points for the entire life of the loan, provided the terms and conditions are met. This is a unique advantage for those who are looking for a long-term solution for earning Qantas Points without having to continually refinance their home loan. If you want to earn Qantas Points and want a more stable option that doesn’t require frequent refinancing, the Qantas Money Home Loan may be the perfect choice for you.
How many points can I earn?
It is advertised that you will receive 100K Qantas points each year as long as you meet the terms and conditions for up to 30 years… so essentially up to 3,000,000 Qantas Points!
Comparing the Qantas Money Home Loan to Cashback Offers: A Closer Look at the Potential Rewards
When considering the Qantas Money Home Loan, it’s important to compare it to other offers available in the Australian home loan market. Currently, there are several cashback home loan offers that reward applicants with a lump sum of $3000-$4000 for signing up. So, let’s compare this type of offer to the Qantas Money Home Loan below!
Example: Qantas Points VS Cashback
It’s important to note that this example is just for illustration purposes and the actual results may vary depending on your specific circumstances. When evaluating the Qantas Money Home Loan and its yearly reward of 100K Qantas Points, it’s essential to run the numbers based on your individual situation.
In this example, we are going to assume that someone refinances their home loan every 3 years, which is an average scenario. By doing this, let’s compare the potential reward of the Qantas Money Home Loan to a cashback home loan offer and see what the maths says!
Qantas Money Home Loan: 3 Years
= 3x 100K Qantas Points = 300K Qantas Points
Cashback Offer: Every 3 Years refinancing & sign up bonus of $3000 cash back
= $3000 Cashback every 3 years but no other bonuses for the remainder of the loan
On the Qantas Website, if you were to purchase 300K Qantas Points it would cost you close to $8000 if you didn’t get them on sale & purchased regularly via Qantas points top up!
Depending on what you use the points for… the actual value saved by using the points could be worth considerably more! For example, let’s look at the value that could be attributed if we were using the points on a classic rewards flight to Sydney to London!
We can see here, if you were lucky enough to secure a business class reward rate from Sydney to London for 2 people…. it would cost just shy of 300K Qantas Points + $904 AUD total. If you were paying with cash for the same flight, for 2 people it would set you back $18,608 AUD! In this specific example, the value of having 300K Qantas points actually attributes to $17,704 AUD in cash savings given you are using 300K Qantas Points & only $904 AUD!
Summary:
It’s important to keep in mind that the comparison between the Qantas Money Home Loan and a cashback home loan offer can be impacted by various variables. Factors such as the frequency of refinancing, travel habits, the cost of flights, and the interest rate offered by Qantas Money and its competitors can all have a significant impact on the final outcome.
In this specific example, for people who frequently travel overseas on business class rewards rates, the math appears to be favorable towards the Qantas Money Home Loan, assuming all other factors are equal. However, it’s crucial to perform your own calculations and consider your personal financial situation and goals before making a final decision.
Qantas Money Home Loan Full Details: https://www.qantasmoney.com/home-loans
OzBargain Discussion: https://www.ozbargain.com.au/node/755243
