Help guide
Offset account vs redraw: what actually changes
High-level structural differences impacting interest calculation, accessibility of extra repayments, and questions some lenders ask for tax record-keeping — information only.
Mechanics in one breath
Offset balances notionally reduce interest charged on a linked variable loan; redraw lets you pull back extra principal you already paid down if the product allows.
Neither is “free money” — both sit inside the lender product contract with rules, fees and availability constraints.
Does it matter for tax record-keeping?
Mixing owner-occupied and investment debt has legal/tax dimensions; many borrowers seek professional tax advice before restructuring.
Product labels differ — read your credit guide and account terms rather than assuming Instagram diagrams match your contract.