A master limit sets one approved lending limit over your home, with sub-accounts underneath. For debt recycling, it can let you move limit from your home split to your investment split without reapplying each time.
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A master limit is one overall lending limit approved over your property, with separate sub-accounts underneath it. The limits of the sub-accounts always add up to the master limit.
That suits a strategy that repeats. Our guide to debt recycling explains the cycle: pay down the home loan, borrow the same amount back to invest, and do it again as the home loan falls.
Master Limit is the name AMP gives its facility. AMP’s broker material, current at August 2026, says it lets you restructure debt within an overall approved credit limit without further assessment or variations.
Each sub-account has its own purpose and its own balance. A debt recycling setup might use three.
| Sub-Account | Purpose | Interest |
|---|---|---|
| Home split | Money borrowed for your own home | Generally not deductible |
| Investment split | Money borrowed only to invest | May be deductible |
| Line of credit | Holds unused limit on stand-by | Depends on what it is used for |
AMP describes undrawn amounts as staying available on stand-by in the line of credit. That convenience needs discipline, because drawing it for private spending creates private debt.
Debt recycling is not a one-off event. Each time the home split falls, you want the investment borrowing to rise by the same amount.
With most lenders, each of those moves means a new application. Under a master limit, limit released from the home split can be moved to the investment split within the approved total, without a full application or a property revaluation.
The structure still has to be right on day one. Our page on how we structure the splits covers sizing, naming and keeping each split to one purpose.
Our $402K master limit case study shows the facility in a real client file, published anonymously.
The structure cost the couple $324 a year more than their existing loan. They chose it for the flexibility, not the price.
The line of credit needs the most care. Drawing it for a holiday or a car mixes private debt into a facility meant for investing, which is how the redraw contamination trap starts.
A master limit trades some cost for flexibility. Compare its application fee, any package fee and the rates on each sub-account with a simpler split loan, using comparison rates rather than headline rates.
It also ties the restructuring flexibility to one lender. Moving to another lender later means a new application and a new structure there.
If you will only recycle once or twice, an ordinary split loan may do the job. A master limit earns its place when you expect to move limit between splits many times over the years.
Unless you already bank with AMP, getting a master limit means moving lenders. Our page on refinancing for debt recycling explains what that involves.
A master limit gives debt recycling one approved ceiling and room to move limit from your home split to your investment split as you go, without reapplying each time. It can cost more than a simple split loan and needs discipline around the line of credit. Size it for the full plan at the start, confirm the current terms with the lender, and keep every sub-account to one purpose.
We check whether a master limit or a simpler split loan suits your plan, and arrange the structure with the lender.
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Written and updated byAlex GeeDirector & Mortgage Broker, Kingfisher Finance Group
Reviewed byJessica MaraisMortgage & Finance Broker, Kingfisher Finance GroupIt is one overall lending limit with several sub-accounts underneath it. The sub-account limits always add up to the approved total.
AMP's material allows up to 10 sub-accounts, with a line of credit of at least $10,000 as the first.
Not within the approved limit. AMP says sub-accounts can be restructured within that limit without further assessment. Going above it is a separate request.
AMP requires a line of credit as the first sub-account. Unused limit sits there on stand-by until it is moved to another split.
It can be. There is an application fee and possibly a package fee, and in our case study the structure cost $324 a year more than the existing loan.
Master Limit is an AMP facility, so you would generally need to refinance to AMP unless you already bank with them. A broker can check whether your current lender has a workable alternative.
How a debt recycling loan is structured: the splits, sub-accounts and redraw setup that keep your deductions clean. Done for you by a specialist broker.
Read more → CASE STUDYA couple consolidated a home loan, car loan and two credit cards, then set up a $402K investment split under a $1m AMP Master Limit for ongoing recycling.
Read more → GUIDELearn how debt recycling loan splits work, how many may be needed and why clean sub-accounts matter for tracing investment interest.
Read more →
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.
