Bank First Home Loans: The 2026 Review

Bank First, legally known as Victoria Teachers Limited, was established in 1972 to address the financial needs of teachers and education sector employees. Originally founded as Victoria Teachers Credit Union, it has evolved from a credit union into a fully-fledged bank. This transition allowed Bank First to expand its range of financial services, while maintaining its commitment to serving the education community. Headquartered in Hawthorn East, Victoria, it has grown to become a significant player in the community banking sector.

Today, Bank First operates as a customer-owned bank, independent of the Big 4 banks. It offers 137 products, all available through both physical branches and online platforms. Bank First distinguishes itself by focusing on community involvement and customer ownership, providing personalised services and competitive rates. Its business model emphasises flexibility and value, particularly for educators and community members, setting it apart from larger financial institutions.

Bank First primarily targets educators and community members across Australia, with a strong presence in Victoria. It offers specialised programs like the First Home Bonus Saver account, which provides cashback when linked to a new home loan. While it may not always offer the lowest rates for high-risk borrowers, its focus on personalised service and community engagement makes it a preferred choice for those seeking a more tailored banking experience.

• Legal Name: Victoria Teachers Limited
• ABN: 44087651769
• Established: 1972
• Headquarters: Hawthorn East, Victoria
• Type: Customer-owned bank
• Ownership: Independent

• Website: https://www.bankfirst.com.au
• Phone: 1300 654 822
• Email: [email protected]
• Address: 117 Camberwell Rd, Hawthorn East, VIC 3123

Bank First offers flexible home loan options with features such as no ongoing fees, additional repayment capabilities, and digital banking access, catering to borrowers seeking cost-effective and adaptable solutions.

• Redraw Facility: A minimum of $500 is required per redraw, allowing borrowers to access extra repayments if needed. This provides financial flexibility, enabling borrowers to manage cash flow effectively.
• Additional Repayments: Borrowers can make up to $30,000 in additional repayments annually during the fixed rate period without incurring a break cost. This feature helps reduce the loan balance faster and save on interest costs.
• Online Banking Access: Bank First provides comprehensive online banking features, allowing borrowers to manage their home loans conveniently. This includes checking balances, making payments, and accessing statements anytime, anywhere.
• NPP PayID: The home loan can be used as the target for an NPP PayID, facilitating fast and secure payments. This enhances convenience for borrowers by allowing seamless transactions linked to their home loan.
• Variable Rate Additional Repayments: Borrowers can make additional repayments on variable rate loans without any cost. This feature offers the flexibility to pay off the loan faster and reduce interest payments over time.
• Split Loan Option: Bank First allows borrowers to split their home loan into variable and fixed components. This provides a balance between the security of fixed rates and the flexibility of variable rates, catering to diverse financial strategies.
• No Ongoing Fees: Select home loans from Bank First come with no ongoing or monthly fees, reducing the overall cost of borrowing. This feature enhances affordability and provides long-term savings for borrowers.
• First Home Bonus Saver: This account offers cashback when linked to a new home loan, particularly benefiting first-time buyers. It provides an added financial incentive, making home ownership more accessible.

Bank First offers a transparent fee structure with a focus on flexibility and cost savings, featuring no ongoing monthly fees and options for fee waivers on certain products.

• Settlement Fee: $400 - Costs associated with processing the documentation and settlement of the loan.
• Discharge Of Mortgage Fee: $395 - Charged per Title when the mortgage is discharged.
• Break Cost Fee: Variable - Applies if the loan is repaid early, transferred to a variable loan, or if additional payments exceed $30,000 p.a. during the fixed term.
• Premier Package Home Loan Fee: $390 (Annual) - Annual fee for maintaining the Premier Package Home Loan.
• Premier/Rewards Package Home Loan Fee: $390 (Annual) - Annual fee for maintaining the Premier or Rewards Package Home Loan.
• Arrears Fee: $20 - Charged when a loan is 7 and 30 calendar days in arrears.

Bank First primarily lends to Australian residents, focusing on educators and community members, offering flexible home loan options with no ongoing fees.

• Applicants must be at least 18 years old.
• Individual applicants must be Australian permanent residents; joint applications require at least one permanent resident.
• Applicants must demonstrate a stable income sufficient to meet loan repayments.
• A good credit history is required, with specific criteria varying by loan product.
• Some products allow for a 5% deposit with a guarantor, while others may require higher deposits.
• Loan-to-Value Ratio (LVR) can be up to 95% for some products, but generally 80% for others.
• Certain home loans require a linked Bank First account for repayments.

• Lenders Mortgage Insurance (LMI) may be required for loans with an LVR above 80%.
• First Home Bonus Saver account offers cashback when linked to a new home loan, beneficial for first-time buyers.
• Additional repayments up to $30,000 are allowed during the fixed rate period without break costs.