Cash back incentives for refinancing – Does switching banks help?

If you’ve been wondering “Is now the right time to refinance my mortgage?”, then a cash incentives from the bank might make a mortgage refinance more attractive than ever. Banks and major lenders are often competing for business with mortgage refinance offers that could include thousands of dollars in cashback, so let that work in your favor and get some money back into your pocket, either from your own bank, or for switching to a new bank.

What is a cash incentive for refinancing?

A cash incentive is a lump-sum payment offered by a bank when you refinance with them, or switch your mortgage over to them. Depending on the size of your current home loan, these cash offers can range in size, and talking to our mortgage brokers will help uncover the amount you could get. 

The larger your mortgage is, the higher your chance of a bigger cashback offers.

When should I refinance my mortgage?

Timing is important when refinancing. You should be thinking about:

  • Avoiding break fee’s or claw backs for switching to soon. Typically, you would want to have held a mortgage for 3-4 years before considering a refinance. If you refinance before this period, you could face penalties or a claw back of incentives you were offered to go with your current bank. 
  • End of fixed-term – the best time to refinance without break fees.
  • When better rates are available – if another lender offers a lower rate, refinancing can bring meaningful savings, especially if you can combine a lower rate with a cash back offer.
If your fixed term mortgage is ending soon, you’ll face the choice: refinance my mortgage with a new lender, or refix mortgage rates with your current one.

Mortgage Refix vs Mortgage Refinance

You’ve got two options generally. 
  1. Mortgage refix – stay with your bank and choose a new fixed-term rate (simple, quick, no switching). Chat to one of our team to see if you can get a cash back offer from your existing bank.
  2. Mortgage refinance – move to a new bank for better rates, features, or incentives (takes longer but can potentially save you more).
Both are valid options depending on your goals — stability, flexibility, or to maximise your savings.

How to Apply for a Mortgage Refinance in NZ

  • Review your current loan and fixed-term end date.
  • Compare cash incentives, rates, and loan features from multiple banks.
  • Decide if a mortgage refix or a full refinance is right for you.
  • Apply through your bank or (better yet) work with a mortgage broker to handle the process.

How We Can Help

Our Priority Home Loans mortgage advisors will help you:

  • Weigh up whether to refinance or refix.
  • Compare cash incentive offers across banks.
  • Avoid pitfalls like hidden break fees.
If you’re thinking about a mortgage refinance or simply want to refix your mortgage, talk to us first — we’ll make sure you get the deal that works best for you.

We are here to help you

OUR OFFICE

67 Norton Road, Frankton, Hamilton 3204
Monday – Thursday 9.30am to 4.00pm
Friday 9.30am to 3.00pm

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