☕ Welcome to this week's bumper edition of Kath's Credit Crunch!

With public holidays making last week a little shorter than usual, we've got some catching up to do! So today is a BIG one! We're squeezing two weeks' worth of lender updates into one edition, so bear with me! 😅

There's plenty of good stuff to unpack, including some great policy improvements for self-employed borrowers, more lenders joining the Australian Government 5% Deposit Scheme, greater flexibility around income verification, and a few interesting servicing policies that might just help get your next tricky deal across the line.

I've packed a lot in, but hopefully there's a little nugget or two that helps you with your next deal!

Grab a coffee (maybe a large one this week!) and let's dive in! ☕👇

🏦 LENDER POLICY & PRODUCT UPDATES

🔵 ANZ | NSW First Home Owner Grant – New Declaration Requirements

ANZ has advised of a new NSW First Home Owner Grant (FHOG) declaration requirement for applicants born overseas who are unable to provide a copy of their overseas passport.

Effective 2 November 2026, ANZ's FHOG team will provide an approved declaration template for eligible applicants to complete.

The declaration must include:

• The reason the overseas passport is unavailable.
• The applicant's full name as shown on their foreign passport.
• The date the applicant first arrived in Australia.

💡 Broker tip: If you're assisting a NSW first home buyer born overseas who no longer has access to their foreign passport, this declaration provides an alternative documentation pathway.

🔵 Bank First | Interest Rate Changes & Existing Approvals

Following the latest RBA cash rate increase, Bank First has announced increases to its home loan interest rates.

Important reminder for existing approvals:

Bank First has confirmed that existing fully assessed Approvals in Principle and Conditional Approvals will continue to be honoured for serviceability purposes, provided:

• There is no increase to the approved loan amount.
• There are no material changes to the applicant's circumstances.
• No changes have occurred that require a new credit assessment, such as changes to employment or liabilities.

💡 Broker takeaway: Existing fully assessed approvals may remain valid under the previous servicing assessment, provided the customer's circumstances and loan requirements remain unchanged.

🔵 Bankwest | Joins the Australian Government 5% Deposit Scheme

Bankwest officially commenced participation in the Australian Government 5% Deposit Scheme on 2 November 2026, providing additional lending options for eligible home buyers.

Two Scheme streams are available:

🏡 General Stream – Minimum 5% Deposit

Available to eligible applicants who:

• Are first home buyers; or
• Have not owned property or land in Australia in the previous 10 years.
• Have a minimum deposit of 5%.

👨‍👧 Single Parent or Guardian Stream – Minimum 2% Deposit

Available to eligible single parents or guardians who:

• Have at least one dependent.
• Do not currently own property.
• Have a minimum deposit of 2%.

All applicants must satisfy the Scheme's eligibility requirements.

💻 Serviceability Calculator Update

Bankwest is also updating its serviceability calculator to:

• Incorporate the latest Household Expenditure Measure (HEM) benchmarks.
• Identify Government Scheme applications by selecting 'Y' where applicable.

💡 Broker takeaway: Another lender option for eligible first home buyers and single parents. Remember to correctly identify Government Scheme applications when completing serviceability.

🔵 Beyond Bank | Simplified PAYG Income Verification

A welcome change from Beyond Bank, with fewer documents now required for PAYG-employed applicants.

Effective immediately:

• Bank statements are no longer required for standard PAYG employment and income verification.
• Only two recent consecutive payslips are required.

💻 ApplyOnline Update

ApplyOnline has not yet been updated to reflect the new requirements.

In the meantime:

• The bank statement upload field will still appear.
• Brokers should upload the applicant's payslips in that field instead.
• The system update is expected by late November 2026.

💡 Broker takeaway: Less paperwork for PAYG borrowers and potentially fewer delays gathering unnecessary supporting documents.

🔵 Bluestone for LMG | Expanded Lending Appetite & Flexible Credit Policy

Bluestone for LMG continues to expand its lending appetite, with greater flexibility across refinancing, debt consolidation, cash-out and security eligibility.

Its new credit assessment system is also supporting faster turnaround times.

⚡ Key Highlights

• Flexible refinance and debt consolidation options.
• Unlimited cash-out considered, subject to policy and supporting documentation.
• No clawback after 6 months, excluding Prime Full Doc and SMSF.
• Current turnaround times of approximately 1–2 business days.

🏡 Expanded Security Eligibility

Bluestone can now consider a broader range of security types, including:

• Multiple dwellings: Up to 4 units on one title, excluding construction.
• Land size: Up to 10 acres.
• Studio apartments: Minimum size of 40m².
• Development Approvals: Properties with existing development approvals or permits may be considered with a statutory declaration.
• Crown Lease: Accepted.

💰 Increased Loan & Exposure Limits

Lending Category	Maximum
Maximum loan amount	$5 million at 70% LVR
Expat lending	$3 million at 80% LVR
Total lending exposure	$15 million

💵 Unlimited Cash-Out

Unlimited uncontrolled cash-out may be considered with a statutory declaration, subject to Bluestone's credit assessment and lending criteria.

📋 Simplified Accountant Verification

An accountant phone verification may not be required where:

• Declared income is below $250,000.
• The loan amount is below $1.5 million.
• The accountant can be independently verified through a Google search.

Important: Generic email addresses, including Gmail and Hotmail, are not accepted without an approved exception.

🌳 Vacant Land Lending

Bluestone also offers flexible vacant land lending, including:

• Up to 70% LVR.
• No loading or exit fees.
• Cash-out permitted.
• No requirement to commence construction within a specified timeframe.
• No postcode restrictions.

💡 Broker takeaway: Plenty of opportunities here, particularly for borrowers with non-standard securities, larger loan requirements, vacant land or cash-out needs that may fall outside traditional bank policies.

🔵 ING | Negative Gearing & ApplyOnline Changes

ING has introduced important updates to how negative gearing is assessed in its serviceability calculator, along with improvements to ApplyOnline document submissions.

Effective 3 November 2026.

🏡 Negative Gearing – Calculator Changes

Two new questions have been introduced for investment lending scenarios:

• Is Interest Tax Deductible?
• Apply Negative Gearing Treatment?

Brokers must also link each investment loan to its corresponding rental property within the calculator.

What brokers need to do:

• Use the updated ING Serviceability Calculator.
• Stop manually applying negative gearing servicing adjustments.
• Understand when full, partial or no tax deductibility treatment applies.
• Retain supporting evidence where ING requires verification.
• Complete both mandatory negative gearing fields in ApplyOnline.

💻 ApplyOnline – Document Submission Improvements

ING has also introduced additional document categories to help brokers submit the correct information at lodgement.

New categories include:

• Pricing Discretion Approval: Upload evidence of approved pricing discretion.
• Broker Notes: Include additional information relevant to the application.

📋 Important Submission Reminders

• Only upload documents requested by ING.
• Bank statements and serviceability calculators generally do not need to be submitted unless specifically requested.
• For valuations, provide the valuation reference number only. ING will retrieve the report directly.
• Ensure all Tax File Numbers (TFNs) are redacted before uploading documents.

A TFN redaction tool is available within ApplyOnline. Documents containing unredacted TFNs will be pended for further information.

Did you know? ING advises that approximately 40% of applications pended for further information are due to unnecessary documents being submitted.

💡 Broker takeaway: More documents don't always mean a better submission! Using the updated calculator and providing only the required supporting information can help reduce unnecessary delays.

🔵 Resimac | Joins the Australian Government 5% Deposit Scheme

Resimac is now a participating lender under the Australian Government 5% Deposit Scheme, with eligible applications available through its Prime Quickstart product.

🏡 Key Product Features

• Redraw and offset facilities available.
• No application or ongoing account-keeping fees.
• Settlement fee applies.
• Fixed 3.00% serviceability assessment buffer, in accordance with the Scheme requirements.
• Pre- and post-settlement customer check-ins.
• Periodic customer updates.
• 12 months' complimentary access to a budgeting tool.

📋 Important Eligibility Requirements

Resimac has confirmed that the following criteria are non-negotiable:

• Prime eligible borrowers only – no policy exceptions available.
• Full Doc applications only – Alt Doc is not accepted.
• Owner-occupied purchases only – investment properties are not eligible.

💻 ApplyOnline Lodgement

The product is available in ApplyOnline under the Non-Genuine Savings tab in the Product Selector.

Important: Despite its location within the Non-Genuine Savings section, Resimac's standard Genuine Savings requirements still apply.

💡 Broker takeaway: Another lender option for eligible buyers using the 5% Deposit Scheme. Just be mindful of the strict Prime, Full Doc and owner-occupied requirements before submitting.

🔵 Ubank | Sole Trader Income & Verification Enhancements

Ubank has introduced several policy improvements, including a new approach to sole trader income, expanded verification options and an updated servicing calculator.

Effective 29 October 2026.

👩‍💼 Sole Trader Income – 100% Net Profit Before Tax

Ubank will now allow 100% of Sole Trader Net Profit Before Tax to be used for servicing, subject to eligibility.

Eligibility requirements:

• ABN registered and active for at least 2 years.
• Business must demonstrate profitable trading for at least 2 years.

Income verification:

• Most recent Individual Tax Return.
• Corresponding ATO Notice of Assessment.
• Documents must be no more than 21 months old from the reporting date.

Product restrictions:

Criteria	Requirement
Maximum LVR	80% – Owner-Occupied & Investment
Cash-out	Up to $250,000 at 70% LVR or below
Cash-out above $250,000	Discuss with BDM
Debt consolidation	Not permitted
Maximum loan term	30 years

📋 Expanded Income Verification

Holiday Rental Income

Annual statements from booking platforms such as Airbnb can now be accepted to verify existing holiday rental income.

Bonus Income

Income statements can now be accepted to verify bonus income, provided the bonus is separately itemised.

Recently Commenced Employment

Employment contracts may now be accepted for applicants who:

• Have recently commenced full-time, part-time or fixed-term employment.
• Have not yet completed two pay cycles.

💻 Loanapp & Calculator Updates

Employment Income Details

When Self Employed is selected, Loanapp now includes a mandatory Business Entity Type field.

Additional sole trader income fields capture:

• Net Profit Before Tax.
• Applicable add-backs, including depreciation, interest and lease expenses.
• Non-recurring income and expenses.

Serviceability Calculator – Version 20

The updated calculator includes a new Self Employed tab for sole trader income.

Important: Complete the 'Any HELP or HECS debt?' question on the Serviceability Calculator tab to ensure the calculated income flows through to the servicing assessment.

💡 Broker takeaway: The ability to use 100% of eligible sole trader net profit, together with more flexible income verification, could create opportunities for borrowers who previously struggled to satisfy standard documentation requirements.

🎓 BROKER EDUCATION & POLICY LEARNING BITES

Sometimes it's not a new policy that makes the difference — it's knowing about an existing one!

Here are a few lending policies and servicing features worth keeping in your back pocket.

🧠 Macquarie | Lending to Couples Where One Borrower Holds a Visa

Did you know Macquarie has a flexible approach to joint applications where one borrower is an Australian citizen or permanent resident and the other holds a temporary visa?

Key Policy Highlights

• Only one applicant is required to be an Australian citizen or permanent resident.
• The second applicant must be the spouse or de facto partner.
• The spouse/de facto may hold almost any visa type, excluding tourist visas.
• The Australian citizen or permanent resident must contribute at least $1 more income than the visa holder for servicing purposes.

🏡 Property Ownership

Macquarie also offers flexibility around ownership on title.

The visa-holding spouse may hold a minimal ownership share or even 0% ownership.

💡 Broker takeaway: Don't automatically rule out a couple because one applicant holds a temporary visa. Macquarie's approach to citizenship, income contribution and ownership structure may provide a solution for eligible borrowers.

🧠 Thinktank by LMG | Trusts, Companies & Complex Lending

Trust and company lending, along with more complex borrowing scenarios, remain firmly on the table with Thinktank by LMG.

There are also some interesting servicing and policy features that brokers may not be aware of!

💻 New Digital Servicing Calculator

Thinktank has introduced an upgraded digital servicing calculator with:

• Negative gearing benefits available for selection.
• Support for commercial lending scenarios.
• A simplified digital interface.

👉 Access the calculator: https://calculators.thinktank.au/signin

🏡 HEM & Servicing Assessment

Thinktank advises that its HEM approach captures living expenses including:

• Private health insurance.
• Private school fees.
• Investment expenses.
• Child support.

Thinktank also applies a 2% servicing buffer on debt, which may provide a more favourable servicing outcome for eligible borrowers.

💰 Favourable Purchases – Up to 110% of Contract Value

Have a client purchasing a property from a parent or family member at a discounted price?

Thinktank may consider lending up to 110% of the contract value under its favourable purchase policy.

This may assist with additional purchase costs, including transfer costs, subject to credit criteria.

🏗️ Off-the-Plan Purchases

Where an off-the-plan contract was signed more than 12 months ago, Thinktank may consider lending against the current property valuation rather than relying solely on the original contract price.

👩‍💼 Shorter ABN History

Thinktank may consider self-employed borrowers with a shorter ABN history where they can demonstrate:

• At least 2 years of consistent experience in their current role or industry.
• Compliance with the applicable lending criteria.

Eligible scenarios may be considered without risk fees or additional rate loading.

💵 Pricing Discretion

Thinktank is also open to reviewing like-for-like competitor pricing.

Brokers can submit the scenario together with a competitor quote for consideration.

💡 Broker takeaway: From family transactions and off-the-plan purchases to trust/company structures and shorter ABN histories, Thinktank may be worth exploring before ruling out a more complex deal.

🧠 Wave Money | Flexible Servicing Policies Worth Knowing

Wave Money offers a flexible approach to income, living expenses and liabilities that could make a difference to borrowing capacity.

Here are a few servicing features worth revisiting.

🏡 Boarder & Housemate Income

• Income from multiple rooms may be considered.
• Prospective boarders can also be considered.
• Eligible boarder income is shaded to 80%.

This could be particularly useful for borrowers looking to retain their family home and supplement their income by renting out a spare bedroom.

👨‍👩‍👧 Child Support & Shared Care

• 100% of eligible child support income can be accepted for servicing.
• Dependent expenses may be assessed based on the applicant's actual shared care arrangements.

💳 Existing Liabilities

• Existing debts with other financial institutions may be assessed using actual Principal & Interest repayments, in accordance with policy.
• A Common Debt Reducer is available for eligible joint liabilities, potentially reducing the impact of shared debts on servicing.

👩‍💼 Employment Probation

Borrowers currently on probation may still be considered where they have relevant previous industry experience.

💡 Broker takeaway: Sometimes it's not just one policy feature that gets a deal across the line. A combination of eligible boarder income, shared care arrangements and flexible liability assessments could make a real difference to a borrower's servicing outcome.

🏢 COMMERCIAL & SPECIALIST LENDING OPPORTUNITIES

🔵 Wave Money | Commercial Lending Solutions

Have a client looking to purchase or refinance a commercial property?

Wave Money offers a range of commercial lending options across different borrower structures and documentation types.

Key Features

• Loans up to $4 million.
• Up to 80% LVR, subject to eligibility.
• Loan terms of up to 30 years.
• Full Doc, Alt Doc and Lease Doc options.
• Owner-occupied and investment commercial properties considered.
• Lending to individuals, companies and trusts.
• No clawback.
• Direct access to the Credit team to workshop scenarios.

💡 Broker takeaway: With flexible documentation options, longer loan terms and lending available to companies and trusts, Wave Money may be worth exploring for commercial borrowers who don't fit traditional bank lending criteria.

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📅 UPCOMING BROKER TRAINING & WEBINARS

🎓 Paramount | Rural & Agricultural Lending

Tuesday 10 November 2026

🕥 10:30 am – 11:30 am

Presenters: Sean White & Jamilia Elali

Explore lending solutions for rural and agricultural scenarios that fall outside traditional lending criteria.

A useful session for brokers looking to better understand rural property finance and more specialised security types.

👉 Register: Rural & Agricultural Lending webinar

🎓 Paramount | Construction Finance

Thursday 12 November 2026

🕥 10:30 am – 11:30 am

Presenter: Luke Coull

Learn more about construction funding options, deal structures and navigating complex construction lending scenarios.

👉 Register: Construction Finance webinar

REGISTER HERE

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☕ That's a Wrap!

Whether it's improved income verification for self-employed borrowers, more options for first home buyers or some of those lesser-known servicing policies, there's plenty here worth revisiting when you're working through your next scenario.

One thing I always say is don't rule a deal out just because it doesn't fit the first lender's policy you look at. Sometimes the difference between a decline and an approval is simply knowing which lender to approach and how to structure the application.

Have a great week, and happy broking!

Kath

As always, policy information is a general summary only. Please refer to the lender's current credit policy, product guidelines and your BDM for full eligibility requirements before submitting an application.