Bank Australia lending policy separates loan approval from broker remuneration, and existing Qudos facilities still have their own application pathway. Identify the facility and commission agreement before calculating upfront or trail. Then assess the applicant and property under the policy for the product they will actually use.
Upfront Commission and Recurring Trail
Bank Australia broker commission depends on an eligible broker-introduced loan and the remuneration agreement applying through your distribution channel. Customer interest-rate tables price the mortgage. They do not establish the broker’s entitlement.
The YBR Aggregation 2024 commission policy lists Bank Australia upfront at 0.66% and trail at 0.165% a year, including GST. Its upfront calculation deducts offset and redraw from the settlement amount. These are that schedule’s published terms, not a universal rate for every aggregator agreement.
Bank Australia’s 2020 Impact Report describes monthly trail assessed on the closing loan balance less offset. That balance rule explains why a large offset can reduce trail even when the approved loan limit stays unchanged.
For an illustrative calculation under the YBR upfront terms, a $500,000 settlement with $50,000 excluded from the commissionable balance leaves $450,000. At 0.66%, the gross upfront is $2,970 including GST, before your aggregator’s split or deductions. Retain the calculation beside the applicable schedule and settlement statement.
Bank Australia’s broker page states that accreditation applications are paused. An existing accreditation and panel arrangement therefore matter when deciding whether you can submit new business. Our Bank Australia broker portal guide covers submission access.
Clawbacks and Loan Retention
The YBR Aggregation 2024 schedule lists no clawback for Bank Australia and says borrower arrears do not suspend trail. Apply that published treatment only to a facility governed by those terms. An existing Qudos loan needs its own remuneration assessment.
Separate a payout from a retained product change when reviewing the loan’s history:
An external refinance repays the old facility. Establish the final trail balance and apply its agreement’s payout provisions.
For an internal refinance, establish whether the old loan closes and a replacement settles. Identify any new money separately when assessing upfront entitlement.
For a retained product change, follow the continuing facility and broker attribution. A pricing or rate-type change alone does not prove another upfront entitlement.
A mortgage discharge fee or fixed-rate break cost belongs to the customer’s loan terms. A commission clawback belongs to the broker remuneration agreement. Keep the two amounts separate in your file and income forecast.
Track My Trail’s Clawback Risk shows loans within their clawback period, days remaining and upfront exposure under the applicable lender or aggregator rules. Use the Qudos terms for a Qudos exposure assessment rather than assuming the Bank Australia entry covers both brands.
Additional Funds and Split Loans
A Bank Australia top-up requires you to identify new borrowing, the amount actually advanced and what happened to the original facility. A split adjustment can divide an existing balance without increasing the customer’s debt.
For example, dividing a $400,000 loan into $250,000 variable and $150,000 fixed leaves $400,000 of borrowing. Adding a separate $40,000 renovation advance changes both debt and funding. Treat the $40,000 as the additional amount when tracing the event, then apply the agreement’s further-advance provision.
Record the original balance, replacement or continuing account numbers, additional advance and offset allocation. Establish whether remuneration follows only the increase, a new eligible settlement or a fee specified in the agreement. A product label such as renovation loan cannot establish that result.
For trail reconciliation, join continuing and replacement splits to the same client. This avoids treating an account-number change as a lost client or counting the same debt twice.
Existing Qudos Bank Facilities
Qudos Bank’s broker support instructions direct new customers to Bank Australia products following the merged bank’s new-business cutoff. New-customer submissions require Bank Australia accreditation and assessment under Bank Australia policy. Existing Qudos customers continue through Qudos for applicable applications, including variations and increases assessed under Qudos policy.
The commission agreement attached to the existing Qudos facility is the starting point for its ongoing trail and any payout obligation. The merger alone does not establish a new upfront payment or erase a contractual clawback. The separate Qudos row in our Finsure commission schedule helps identify the brand distinction.
When a Qudos customer borrows more, separate the existing loan from the additional advance. For a split change, establish whether Qudos retains the facility and its broker attribution. When a Bank Australia product replaces a Qudos loan, trace the Qudos payout separately from any eligible Bank Australia settlement.
Retain written remuneration instructions for that transaction, including the schedule governing each loan and any change to trail ownership. Our Qudos broker portal guide covers the existing-customer lodgement pathway.
The Qudos broker credit policy summary treats variable pay differently from Bank Australia:
- Consistent overtime received for 12 months can be used at 100%. The summary requires three recent payslips and a payment summary where year-to-date evidence is insufficient.
- PAYG car allowance can be added to gross taxable income at 100%, evidenced by a payslip or employment letter.
- Consistent commission can be used at 100%, supported by three payslips and prior-year earnings.
- Bonus income is shaded to 80%, with a two-year receipt history and payment-frequency conditions. Executive and management applicants have a separate annual-bonus pathway.
Use those Qudos rules for an eligible Qudos application. A new Bank Australia assessment uses Bank Australia’s income rules, even when the applicant previously banked with Qudos.
Income Sources and Residency
Bank Australia’s underwriting policy accepts verified salary, rental income and business earnings, subject to its applicant and employment conditions. Its resident borrower pathway covers adults living and working in Australia who are Australian or New Zealand citizens or permanent residents.
Non-resident applications require exception consideration, with separate nationality, tax-jurisdiction and employment conditions. Overseas self-employed non-residents are excluded. Record where the applicant lives and earns income before selecting the assessment method.
The loan application checklist sets out salary and rent evidence. Base salary needs two consecutive recent payslips or qualifying Bank Australia salary credits. Rental evidence can include an agent statement, tenancy agreement, appraisal or tax return.
Bank Australia uses 100% of accepted base salary, 80% of supported overtime and 80% of standard residential rent. Overtime needs six months of evidence, with assessed working hours capped at 50 a week.
For business income, collect personal and relevant business tax returns, financial statements and assessment notices. The self-employed calculation guide uses the latest year when growth is no more than 20%. Above that, it uses the prior year at 120%. A fall exceeding 20% needs an explanation supporting the latest-year figure. Depreciation is not an acceptable add-back.
For a hypothetical business earning $100,000 then $130,000, that growth rule gives $120,000 before other permitted adjustments. A director’s payslip does not remove the need to assess the business supporting the income.
Property and Product Eligibility
Bank Australia’s security assessment and Clean Energy Home Loan qualification answer different questions. The property must meet ordinary residential lending requirements, and the named sustainability product needs its own evidence.
The New Build criteria require an all-electric property, a NatHERS rating of at least 7.5 stars and qualifying rooftop solar for freestanding homes. Apartments and strata homes have a solar exemption, but common systems must also be electric. Completion must fall within the prescribed 18-month window.
Evidence includes the energy-rating certificate and occupancy or completion certificate. Solar documents must establish the equipment and relevant supplier or installer accreditation. Match the evidence to the property address.
The Renovate criteria require an all-electric established home and eligible completed upgrades within 18 months. Existing solar reduces the required upgrades from three to two. A kitchen renovation alone does not establish eligibility.
Keep upgrade invoices and electrical compliance evidence showing installation details. Both Clean Energy pathways require Australian tax residency and an Australian property, with a qualifying property value up to $2.5 million. Qualifying security must account for at least 65% of total security value when multiple properties secure the loan.
A sustainability discount does not establish serviceability or credit approval. For proposed works, distinguish construction funding and its evidence from a Renovate application based on completed upgrades.
Purchase, Refinance and Purpose Evidence
Bank Australia’s purchase file must establish the property transaction and verified funds to complete. Include the signed sale contract, contribution evidence and costs beyond the purchase price.
The underwriting policy requires a demonstrable three-month savings pattern where genuine savings apply. Above 90% loan-to-value ratio (LVR), it requires 5% of the purchase price from genuine savings, subject to government-scheme rules. A non-repayable gift needs supporting evidence and is separate from genuine savings.
For refinancing, include the discharge authority and statements establishing the debts being repaid. Match debt amounts to the application and identify accounts remaining open. The checklist requires building insurance for purchase and refinance files, noting Bank Australia as financier.
For additional borrowing, identify the use of funds and attach the documents that prove it. Construction needs the builder’s contract and approved plans, specifications and builder indemnity insurance. A debt-consolidation request needs evidence of the liabilities being cleared. Explain any difference between the requested advance and documented costs.
Exceptions and Credit Confirmation
A Bank Australia policy exception needs a defined departure and evidence that supports the requested treatment. Send the broker team a scenario identifying the applicant, income basis, loan purpose and security, with the relevant policy provision.
Separate a credit exception from a commission question. A credit response about overseas income or unusual security does not establish top-up remuneration. Obtain the remuneration response for the particular continuing or replacement facility through the appropriate broker or aggregator channel.
Keep the written response with the facts it relied on, any conditions and the resulting application reference. If the property, borrowing amount or income changes, establish whether the earlier response still covers the submitted scenario. Use the lender policy guides when comparing another bank’s treatment of the same file.
