An Offset Account is a separate account holding your savings, linked to your loan. 

The funds sitting in your offset account then offset daily against your loan balance, reducing the interest charged according to the amount of savings in your account. Most commonly this is a variable loan, however some lenders will offer an offset facility against a fixed loan. You can find more details about 100% fixed lending with offset here. 

While some offset accounts will allow you to offset up to the full balance of your loan , others will only offer a partial offset. 

You will need to specifically apply for this style of fixed loan with an offset account against it. This type of loan is less common and highly sought after. 

Our Senior Advisor has written a lengthy detailed article within our Lendtribe Journal, Click here for more details.