"To my knowledge, some deals were declined due to the lack of satisfactory explanation, or potential borrowers weren’t able to show any savings record and relying on the super funds as deposits purely."
Introduced in March, the early release scheme allowed those in financial trouble to make a tax-free withdrawal of up to $10,000 from their super accounts last financial year, and up to another $10,000 this financial year.But there is a strict eligibility criteria: you must be unemployed, have been made redundant, had working hours reduced by at least 20 per cent since January 1 or, for sole traders, seen a fall of 20 per cent or more in turnover.
Those misusing the scheme face fines of up to $12,600 and could be hit with a tax bill on the withdrawn amount. To date, no fines or notices have been issued. Other major lenders, including ANZ, Westpac, NAB and ING, said each loan application would continue to be assessed on a case-by-case basis.Xavier O’Halloran, the director of Super Consumers Australia, said the banks were right to ask for a complete picture of your financial situation and savings habits.
"People who have accessed their super are obviously trying to meet a pretty immediate financial situation," he said. "They are probably not thinking long term on what the impact might be on refinancing or taking out a loan in the first place."
That marvellous word COULD that could have used wouldn’t
43a6f0ce5dac4ea Best to start trading in Commodity and going back to £.
Big banks are scum. We should all leave them, they don't deserve our money.
Asher_Wolf HOW would private enterprises have access to your super records!? Even, if your super was with the bank this is not legally available!
Luckily I won’t be needing a loan because I used the money from my super to pay off the credit cards that the big 4 banks have been raping me with for the last ten years . Fuck them
Growth? Just more massive amounts of debt to add to the ponzi. That is the modern mantra. Debt debt and more debt.
Everything to do with any unexpected financial ‘windfall’ seems to come back to bite you on the arse later on. The banks will bite first, followed by the ATO. Get a bloody good accountant!
Yeah great!
Just 10,000 release person , can it make huge difference for the loan application ? Really ? Tons of overseas applications can survive .. Just 10,000 release can risk the loan ? Excuse me ,please get some more intelligent journalists to write articles for SMH ..
Forewarned is forearmed as they say
Raided? Used their own money to keep going in a crisis
‘In order to get a loan, you must first prove you don't need it.’ Murphy Law.
and since the market has recovered already they ate all those losses 🤣🤣
Your headline should read if they fraudulently accessed their super.
no fucks given