The Brokers' Bible Credit Crunch - 90% NO LMI 🌟

CBA

New HELP Debt Alternate Servicing Policy
From Wednesday 9 April 2025, CBA are making changes to the way they view customers’ Higher Education Loan Program (HELP) debt.  

They’re introducing two new alternative servicing methods for customers who can repay their HELP debt - within a specified time period. Eligible customers will be able to maximise their borrowing capacity, helping them to achieve their home ownership goals sooner. 

Process 

1. Complete a digital Serviceability Calculator scenario from CommBroker to determine the gross eligible income of your applicant (see screenshot in the Training Guide, which will be available from tomorrow, Wednesday 9 April 2025). 
2. Complete the HELP Debt Time to Repay Calculator to determine the eligible method to use in the application. (Please note the new calculator and details of the two methods will be available on CommBroker from tomorrow, Wednesday 9 April 2025). 
3. Continue with the servicing calculator based on the eligible calculation method to determine the applicant's borrowing capacity. 
4. Submit the application from the first Servicing scenario (with failed NMS).
5. Upload evidence of the outstanding HELP debt balance to the application. Your customer can obtain this via their MyGov portal or other ATO documents showing the outstanding HELP debt e.g. most recent Tax Return or Notice of Assessment. 

Note: You won't need to send a copy of the HELP debt calculator or your Servicing Calculator scenarios with your application, just add application comments that you are applying the HELP debt alternate servicing policy and which method you have used. 

Exclusions  

• Applications involving bridging loans. 

• Where other servicing exceptions are being requested. (This includes Refinance Exception Acceptance (REA), Alternate Servicing for MLE and/or commitment apportioning.) 

• Applications involving servicing guarantors e.g. non-personal borrowers such as company and trust structures.

Refer to the Training Guide for full details of the two servicing methods and instructions on the new process, which will be available on CommBroker from Wednesday 9 April 2025. 

Brighton Commercial Policy Updates

Commercial Full Doc: 

• 1-Year Financials now accepted
• Max LVR increased to 80% up to $3mil

Commercial Alt Doc:

• Max LVR increased to 80% up to $3mil

Brighten Lift (Asset Lending): 

• Vacant land max LVR increased to 65%
• Cat 2 locations now accepted for houses ≤65% LVR                          

Brighten Contact: Ben Mckell - Head of Commercial Lending

M: (61) 467 801 221 E: [email protected]

Pepper Money 📢⭐

• 90% NO LMI
• Prime Full Doc residential property loans
• From 1 April to 4 June.
• No occupation restrictions - prime eligibility criteria applies:
• Suitable for Refinance, FHB, Upsizing, Downsizing
• Suitable for clients who need to consolidate debt and improve cash flow.
• Owner Occupied and Investors
• Exclusions apply to vacant land and construction.

Paramount Mortgage– policy spotlight

LO DOC INCOME-PRODUCING FARMS

• Up to 65% LVR
• Lo Doc
• Income-Producing Properties
• Unlimited Acreage
• Unlimited Cash Out

ANZ

REMINDERS - TAX RETURN VALIDITY DATE

 ANZ self-employed policy allows 2023 Tax returns and financials up to 22½ months old (valid until 15th May 2025) and must related to the same financial year.

 Loan needs to be submitted prior to this date and made “sufficient” based on the information provided at lodgement. If made, “insufficient” post 15^th May, 2024 Tax returns are likely required.Also, if the loan is declined or further information required/received post 15^th May, 2024 Tax returns are required

REMINDER – FIRST HOME BUYER BONUS OFFER

Eligible first home buyers who take out an ANZ Home Loan of $250,000 or more can receive the First Home Buyer Bonus of $3,000*.

This bonus can be used on moving costs, connecting services, or helping them get ahead on repayments. To find out more about the offer and how eligible customers can claim, visit the Broker Portal.

* Offer terms: anz.com/firsthome or visit the Broker Portal. Fees, charges, eligibility criteria apply. Offer can be withdrawn at any time. Limit to one Bonus of a maximum of $3,000. Available for eligible first home buyers who purchase or construct their first property and take out an eligible ANZ Home Loan of $250,000 or more. To enable eligible first home buyers to receive the Bonus they must also hold an ANZ Access Advantage, ANZ Plus or ANZ One offset account at loan drawdown. They must drawdown the eligible ANZ Home Loan(s) within 180 days from applying. Bonus paid after settlement. See the full terms and conditions (PDF) for this offer, available via the Broker Portal. Not available on ANZ Plus home loans.

 Process - What you need to do:

• Tick the corresponding FHB box when completing an application in ApplyOnline/Loan App.
• Use the comment section to provide more details about the primary purpose of the application.
• Ensure the customer has an eligible ANZ account for payment (Access Advantage, One Offset or Plus account) at time of drawdown.
• For customers who are eligible for and wish to receive the First Home Buyer Bonus offer, you can submit a Home Loan Offer request via the Broker Portal as soon as an application number is generated post submission.
• The SLA for First Home Buyer Bonus Offers requested through the Broker Portal is 60 days. However, the majority will be fulfilled within 10 days of drawdown, subject to meeting eligibility criteria, with the relevant payment made thereafter.

Note: Please do not submit both digital and paper home loan offer requests for the same application. Requests should be lodged digitally, with any follow ups only lodged with [email protected] once 10 business days for offer processing has passed after drawdown.

 More Information:

• ANZ First Home Buyer Bonus Offer Terms and Conditions – Available on Broker Portal > Brochures and Onboarding

REMINDER – SWITCHING CASHBACK OFFER

Eligible customers who are refinancing to ANZ can receive $2,000 cashback for eligible ANZ Home Loans of $250,000 or more with 80% or less LVR*

* Offer can be withdrawn at any time. Limit of one cashback within any 12-month period. Offer is $2,000 cashback for 80% LVR or less. Paid within 60 days to an eligible ANZ account. Offer terms anz.com/cashback. Fees, charges, eligibility criteria apply.

What you need to do:

• For customers who are eligible for and wish to receive the Switching Cashback Offer, you can submit a Home Loan Offer request via the Broker Portal as soon as an application number is generated post submission.
• The SLA for Switching Cashback offers payment through the Broker Portal is 60 days. However, the majority will be fulfilled within 10 business days of drawdown, subject to meeting eligibility criteria. The cashback payment will be paid within 60 days of drawdown to an eligible ANZ account.

Note: Please do not submit both digital and paper home loan offer requests for the same application. Requests should be lodged digitally, with any follow ups only lodged with [email protected] once the 10 business days for offer processing has passed after drawdown.

More Information:

• ANZ Home Loans Switching Cashback Terms and Conditions – Available on Broker Portal > Brochures and Onboarding
• ANZ Home Loans Switching Cashback Advertised Offer Terms of Use – Available on Broker Portal > Brochures and Onboarding

Apollo

NEW! Policy spotlights:

• Attestation – open for OO IO business up to 5 years with a simple customer attestation via email
• Like-for-like refi's – now with $5,000 buffer vs dollar for dollar
• Favourable purchases – now 110% vs 95% (80% against valuation)
• Privately managed existing rental – now accepting 6 months of credit (with evidence of rent)

In the news - Labor to provide 5% deposits for first home buyers – Broker Daily Read HERE

Clare O’Neil, Minister for Housing and Homelessness, announced yesterday (13 April) that a re-elected Labor Government would make some drastic changes to support home ownership.

First home buyers will be able to access 5 per cent deposits. They would also be exempt from paying lenders mortgage insurance (LMI).

Also announced was a $10 billion investment to build 100,000 homes, available only to first home buyers, in coordination with state governments.

Watch this space……

That's all finance friends, let me know if you want any Bali tips for family, travel, or running your biz in Bali. This is a family fav of ours and working in Bali is super easy. This trip is a bit more budget (bougie budget though!!) and I am happy to share the insights. See you next week!!