When it comes to your home loan and how you make repayments, one size doesn’t fit all. You can choose from options to suit your lifestyle. We're breaking down the ways you can structure your home loan below. 


A fixed loan type could be an option if you want to easily manage your budget and finances. That’s because with this structure you’ll keep the same interest rate over a fixed period of time, always making the same repayments. With everything staying the same, you’ll always know how much you’ll need to repay.

  • The term is usually set between 6 months – 5 years
  • Provides certainty regarding budget and repayments
  • Could limit your ability to make additional repayments


A variable rate, also known as ‘floating’, unlike a fixed loan, gives you the ability to make repayments based on what the markets doing. This means you may not have the certainty of knowing how much you’ll pay each time, however you’ll have the flexibility to make additional payments on your loan at no cost.

  • Make payments based on the market
  • Flexibility to make lump sum payments with no penalty
  • You can choose how to pay down your loan (Such as choosing revolving credit)


Having a combination is just like it sounds – you have part of your loan fixed and the other floating. Having a combination mortgage means that you can benefit from the certainty of a fixed repayment and have the opportunity to pay down in lump sums the floating part of your loan.

  • Part fixed and part floating
  • Split depending on your goals
  • Enjoy certainty and lump sum payments at no additional costs on the variable portion of your loan 

Learn more about TSB's loan and repayment options below