CHOICE Big Bank Switch: get the best deal on your mortgage

by Chris Lang on August 1, 2011

CHOICE Big Bank Switch Ever heard of Groupon? If not, I’ll explain – it’s a deal-of-the-day website, that offers discounted certificates for purchasing products. The way it works is, if a certain number of people sign up for the offer, the deal becomes available to the whole group.

You must be wondering “What the heck does this have to do with my mortgage?”, and here’s the answer: CHOICE Big Bank Switch is a new initiative that will act just like Groupon, only instead of deals on products, registered members will get special mortgage offers from lenders.

The idea behind this campaign by CHOICE (consumer organization) is that a single person wanting to switch from one lender to another to get better terms will not get a great deal. But a thousand people … now that’s a different story. Banks are hungry for business and getting a big group of new customers will be a powerful motivator for them to make an effort, and come up with a better (perhaps even great!) offer.

Watch the video below for a complete explanation about CHOICE Big Bank Switch

So CHOICE is looking for 1000 Australian mortgage holders willing to switch banks together for a better mortgage deal. Registration closes 14 August.

Following registration, you will receive offers from lenders, after CHOICE checked them for terms, conditions, fees and discounts. Then it’s your turn to choose if an offer is right for you.

And now a little about behind-the-scenes of the campaign. To make the Big Bank Switch possible, CHOICE partnered with One Big Switch. In my understanding, and according to the CHOICE FAQ page, One Big Switch is acting as a mortgage broker, that may be paid a commission from the lender who gets the switching group’s business. CHOICE, in turn, will get a referral fee from One Big Switch.

Update: you can read how Big Bank Switch worked out here.

What kind of deal would it take for you to switch banks?

{ 2 comments… read them below or add one }

peter brusaschi February 14, 2012 at 10:39 pm

just found your site. i am thinking of switching from westpac bank. i notice that rego ended in august last year. can you give me an update on this? thanks, peter

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Chris February 15, 2012 at 9:50 am

Hi Peter,
According to the Choice website that campaign was successful and the participants were able to get better rates. Choice haven’t renewed the campaign since then, I’m afraid.
-Chris

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