Commonwealth Bank has been named as the second and final lender under the ‘big bank’ branch. Between them, CBA and NAB will be able to write 50% of the 10,000 annual guarantees under the scheme. The remaining 50% will be able to be written by an array of smaller lenders. The main focus of the selection and proportion separation was to encourage greater competition in the market and allow a platform for the smaller lenders to make their names heard in the market.
The following list is that of the small lender available:
• Australian Military Bank
• Auswide Bank
• Bank Australia
• Bank First
• Bank of us
• Bendigo Bank
• Beyond Bank Australia
• Community First Credit Union
• CUA
• Defence Bank
• Gateway Bank
• G&C Mutual Bank
• Indigenous Business Australia
• Mortgageport
• MyState Bank
• People’s Choice Credit Union
• Police Bank (including the Border Bank and Bank of Heritage Isle)
• P&N Bank
• QBANK
• Queensland Country Credit Union
• Regional Australia Bank
• Sydney Mutual Bank and Endeavour Mutual Bank (divisions of Australian Mutual Bank)
• Teachers Mutual Bank Ltd (including Firefighters Mutual Bank, Health Professionals Bank, Teachers Mutual Bank and UniBank)
• The Mutual Bank
• WAW Credit Union
With such a choice of lenders, applications under the scheme can be made directly to the lender, or consumers can utilise the broker channel.
It is encouraged for consumers to engage with the broking network so they can provide their professional support in the application and finding the most suitable lender and product for each person.
Major lenders will be taking applications from a 1 January 2020, with non-majors accepting applications from 1 February 2020.
If you feel that the time is right and are ready to make your move into the property market, start your journey into the property market here .