AMP Bank will re-introduce its SuperEdge loan on 17 February and currently intends to offer SMSFs rates from 6.29% p.a. (6.65% p.a. comparison rate*), according to a note sent to brokers.
“SuperEdge combines practical features, like flexible repayments and an optional offset, with a digital broker experience that helps reduce friction and improve turnaround times,” AMP director of lending and everyday banking Michael Christofides said on the product's reintroduction.
“We’ve built in automated SMSF structure checks and document validation to help cut rework, while maintaining strong responsible lending settings.”
Advertisement
| Lender | Home Loan | Interest Rate | Comparison Rate* | Monthly Repayment | Repayment type | Rate Type | Offset | Redraw | Ongoing Fees | Upfront Fees | Max LVR | Lump Sum Repayment | Extra Repayments | Split Loan Option | Tags | Features | Link | Compare | Promoted Product | Disclosure |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
6.24% p.a. | 6.26% p.a. | $3,075 | Principal & Interest | Variable | $0 | $230 | 70% |
| Promoted | Disclosure | ||||||||||
6.19% p.a. | 6.21% p.a. | $3,059 | Principal & Interest | Variable | $0 | $0 | 70% | Disclosure | ||||||||||||
6.49% p.a. | 6.51% p.a. | $3,157 | Principal & Interest | Variable | $0 | $220 | 70% | Disclosure |
AMP removed its SuperEdge SMSF loan product from sale in October 2018, citing a shifting environment for the offering.
At the time, limited recourse borrowing arrangements were under scrutiny in the wake of the Banking Royal Commission and amid changes to law, while the segment was typically less profitable for lenders.
Today, however, AMP group executive Sean O’Malley says its position as a “challenger bank” sees it “thinking differently about lending.”
“[AMP is] using clearer policy settings and smarter digital checks to deliver a better experience, while staying focused on long-term customer outcomes,” he said.
That mindset has shown up in other recent home loan changes, with the bank becoming the first to offer 10-year interest-only periods , aimed at pre-retirees seeking to unlock equity and maximise cashflow, in 2025.
Earlier this week, AMP said SuperEdge is currently in a pilot testing phase ahead of a broader rollout.
On its return to the SMSF space, AMP Bank, with a $22.8 billion mortgage book, will be the second largest APRA-regulated home loan provider playing in the scene, behind Bank of Queensland , according to data from the watchdog.
But borrowers hoping AMP’s re-entry could herald a swathe of major banks once again joining the bandwagon might be disappointed.
While there’s no telling what conversations are occurring within big bank headquarters, many have tempered lending to non-individuals in recent months.
CommBank , ANZ , and Macquarie Bank have significantly tightened criteria trusts must meet in order to take out a mortgage or stopped lending to trusts altogether, according to reports.
Trusts and SMSFs are vastly different structures, but both can present added risk for lenders - particularly when it comes to loan establishments and asset recovery amid defaults.
Eligibility criteria for AMP's SuperEdge include a corporate trustee structure , a maximum loan-to-value ratio (LVR) of 80%, minimum SMSF assets of $300,000, and at least 10% liquidity post-settlement.
The product is also limited to helping purchase residential properties in zones 1 and 2, with exclusions including commercial and off-the-plan properties or those under construction.
Image by mathieu gauzy on Unsplash
Speak to an SMSF lending specialist
Whether you're looking to refinance or purchase investment property with your SMSF our partners can help you find the right SMSF home loan.
Collections: Mortgage News SMSF AMP Home Loan Collections
Share