To make a long story short, i'm currently on maternity leave , we have been in the home loan for 8 years with the same bank, always made our monthly payments with only a little extra on top, i don't know alot about home loans, but i do know a little . I was unable to claim for ML payment, so instead i had to claim for the BB. BB ran out end of Nov 2012. Dec monthly payment was made, and we were still ahead by 1 month payment (this being jan 2013 monthly payment).
Reason for us being 1 month ahead was because DF and i was making little extra payments towards the home loan so that when my BB money ran out, we had enough in our redraw/homeloan to use as our jan monthly payment (as i return back to work in jan).
However, when i called the bank earlier this week to double check that it was still ok (even though i called them earlier in the year to inform them why i was making additional payments hoping that it will be used as a payment later in the year), i was told that while i'm ahead on my home loan (home loan payments are $1500 per month, and i currently have $1550 sitting in the home loan) - however i've been told by the bank that once i get hit with interest of approx $1200 on 31st dec, i will only have approx $300 available for my jan repayment - there for on the 7th jan when my monthly payment is due i will be arrears by $1200.
I honestly thought by making addtional payments to cover the cost of jan mortgage repayment would be in like a redraw (technically skip a payment, and use what i have in the redraw to cover a payment) well atleast this is what i was told by the bank providing i had enough funds in there (which i do)
I have spoken to a total of 8 different people in the bank who all say the same thing EXCEPT for 2, who say that the money i'm ahead by wont be affected when interest gets added to the loan ,and that the $1550 will still be there AVAILABLE to use as my jan repayment (as orginally planned). However after so many of them all agreeing that once interest is added, i won't be ahead by what i'm CURRENTLY ahead by, i don't see how the other 2 can be right (think the same as me in other words).
I cannot belive that after paying extra to our home loan and thinking i was keeping us covered, is NOT.
I feel like all the extra money i paid is paying nothing. I've been crying over this so much and all the people i spoke to at the bank were so heartless..
Could someone please tell me if this is correct?