Weekly Credit Crunch 4th May 2026 🌟
🏦 Bankwest
Important Self-Employed Policy Appetite Update
Bankwest has made several important updates for applications where self-employed income is required for servicing.
These changes apply to both:
🔹 Salary Self-Employed (SSE)
🔹 Full verification self-employed applications
🧮 Entity Debts Must Be Captured Correctly
For all debts held within an entity, the following details must be entered into the servicing calculator at submission:
✅ Remaining loan term
✅ Interest rate
If these details are not entered, Bankwest may request statements for the debt.
📌 Broker tip: Make sure entity liabilities are fully captured upfront to avoid delays or additional document requests.
✅ Removal of the $2,400 Annual Servicing Buffer
Bankwest is removing the $2,400 annual servicing buffer for both:
✅ Salary Self-Employed applications
✅ Full verification self-employed applications
The servicing position will now align more closely with the standard PAYG buffer requirement of greater than $0.
🚫 Repayment History Indicator Decline Rule
For any application where self-employed income is needed to service, Bankwest will assess the borrower’s Bureau Repayment History Indicator (RHI) over the previous 24 months.
If any borrower on the application has an RHI score of:
🚫 3 — 60 to 89 days overdue
🚫 4, 5, 6 or X
The application will be declined.
📌 In simple terms: if self-employed income is being relied on, any borrower with serious repayment conduct issues in the last 24 months will fall outside Bankwest appetite.
🚫 Personal Loan Opened in the Last 6 Months
Using Credit Bureau account information, Bankwest will also decline applications where any borrower on an application requiring self-employed income to service has opened a personal loan within six months prior to loan submission.
This includes:
🚫 Fixed personal loans
🚫 Variable personal loans
🚫 Revolving personal loans
📌 Key point: It does not matter whether the personal loan is fixed, variable or revolving. If it was opened within six months of submission, the application will be outside appetite.
📉 Maximum LVR Remains 80%
The maximum LVR remains:
✅ 80% LVR
This applies where any self-employed income is relied upon for servicing, including Salary Self-Employed (SSE) income.
🏦 Great Southern Bank
Company and Trust Lending Update
Great Southern Bank has advised that retail home loan applications for non-individual borrowers using company and trust structures are no longer accepted.
This includes:
🚫 New applications
🚫 Additional lending for existing non-individual customers
🚫 Top-ups
🚫 Internal refinances
A big one to watch if you are working with company or trust borrowers.
🏦 AMP
SMSF Policy Changes
AMP has made several updates to its SMSF lending policy, with some helpful improvements for brokers and clients.
What’s Changed — High Level
✅ Simplified liquidity test
Now 5% of the total loan amount.
✅ Lower minimum loan size
Reduced to $200,000.
✅ Lower minimum SMSF fund size
The net asset test has been reduced to $250,000.
✅ More accurate SMSF expense assessment
This should support fairer serviceability outcomes.
✅ Expanded acceptable security locations
Selected Perth metro Zone 3 postcodes are now included.
✅ SMSF pre-approvals now available
This gives clients earlier certainty before they start their property search.
📌 Website communications: SMSF Lending - Broker Hub
📌 Training resources for brokers: Training Hub - Broker Hub
🏦 ING
Reminder: Self-Employed Pathways
A handy reminder from ING about the different self-employed pathways available to help support your self-employed clients.
More confidence. More clarity. More ways to progress a deal with ING’s refreshed self-employed approach.
ING’s Self-Employed Pathways
✅ 1-year financials — FY25
This is the starting point.
✅ Year 2 financials — FY24/FY25
These can help support stronger and more complex scenarios.
✅ ITR Income Only
This helps keep more complex structures in play.
A great reminder that not all self-employed deals need to fall into the too-hard basket.
🏦 Skip Loans
Webinar: The Real Cost of Waiting to Buy Property
Skip is hosting a webinar on:
📅 Thursday 21 May
🕦 11:30am AEST
Waiting Is Costing Your Clients More Than Fees and Interest Ever Will 👀
Skip will show brokers how to quantify the real cost of waiting to buy property, with practical tools and language to help clients understand why time out of the market often outweighs the perceived savings of building a larger deposit.
🏦 ANZ
Operational Updates
ANZ has announced two operational updates for brokers to be aware of.
📱 New SMS Notifications for Customers Nearing Home Loan Payoff
From 28 April 2026, ANZ will begin sending SMS notifications to customers who are nearing the payoff of their home loan.
📌 Broker takeaway:
This is worth being aware of if clients contact you after receiving an ANZ SMS about their loan nearing completion.
🏘️ LMI Postcode Classification Changes
ANZ’s LMI postcode classification changes will take effect from 11 May 2026.
📌 Broker takeaway:
Check postcode classification early for any applications that may be impacted, particularly where LMI, maximum LVR or security location appetite could be relevant.
✨ Wrap-Up
That’s your key policy wrap for the week. See you next Monday Finance friends!
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