How debt recycling is built: loan splits, redraw, offsets and the order funds must move to keep your interest deductible.
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Debt recycling lives or dies on the loan structure. The strategy is simple in theory and unforgiving in the plumbing: a single contaminated redraw or a split set up in the wrong order can quietly cost you the deduction for the life of the loan. This category covers the practical build.
The guides here walk through the mechanics: how to set the strategy up step by step, why loan splits and separate sub-accounts matter, how the redraw contamination trap happens and how to make it impossible, and which lenders support debt recycling before you start. This is the category for readers moving from research into implementation, or getting ready to work with a broker.
Structure sits alongside tax, because most tax problems in debt recycling start as structure problems. Where a deduction is at risk, the cause is almost always an account that mixed two purposes. When you want the splits built correctly the first time, this is where how we structure the loan comes in, and you can always start with a free estimate.
How Alex Gee sets up debt recycling: the lending assessment, loan splits, costs, funding sequence and the reviews that follow.
Read the guide →Loan Structure & SetupPractical GuideHow offset savings, a bonus or an inheritance pass through the loan, what to set up before funds move, and three worked examples.
Read the guide →Loan Structure & SetupPractical GuideWhat to review with your broker, accountant and adviser when you already own shares or ETFs, with a documented client example.
Read the guide →
Loan Structure & SetupPractical GuideWhat to replicate at the new lender, what to document, and how a clean deductible split gets merged into a mixed-purpose loan by accident.
Read the guide →
Loan Structure & SetupPractical GuideWhat loan splits are, how many you need for debt recycling, and why sub-account structure decides whether your interest stays tax-deductible
Read the guide →
Loan Structure & SetupRisk GuideOne deposit into the wrong loan can void your interest deduction forever. How redraw contamination happens in debt recycling, and the setup that makes it impossible
Read the guide →
Loan Structure & SetupLender GuideLoan features, borrowing capacity, refinancing costs and lender declines, with worked lending scenarios for three starting positions.
Read the guide →A separate loan account, with its own account number, that holds only the borrowing used to invest. Keeping it separate from your home loan is what makes the interest cleanly deductible.
Mixing personal and investment borrowings in one account, usually by redrawing investment funds for private spending. It can compromise the deduction across the whole split, which is why the setup order matters.
Structurally it is possible, but the split and tracing errors are costly and hard to reverse, so most people use a broker for the lending and an accountant for the tax.
Run the free estimate, or book a no-obligation call with a specialist debt recycling broker.
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1. Arranged a loan when our small business situation made it difficult to qualify.
2. Met requirements to have funding available by a specified date.
3. Understood my needs to setup debt recycling to allow tax structuring.
4. Communicated well throughout.
I would use their services again.
Alex, Jess and the Kingfisher team were second to none and their process from start to finish was faultless. As a self-employed business owner, it can be difficult to obtain finance at the best of times. The Kingfisher team made this an easy and efficient proposition and their continued transparent and efficient communication ensured we were kept up to date at all times. Highly recommend them for your finance needs!
Alex and Jess dealt with our investment loan and provided a top tier service. They kept us up to date and communicated every step of the process making it a seamless and smooth experience! Awesome work team we will definitely be back for future loans!
Jess from Kingfisher was outstanding. I couldn't fault her communication, expertise or dedication to finding the best loan for our situation. The entire process was seamless from start to finish. We'll definitely be using Kingfisher again in the future. A top-tier organisation.
