A self-employed company director needed to remove her ex-partner from the loan on her investment property, clear $160,000 of ATO debt and release $25,000 for improvements. One loan with MA Money did all three.
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The director of a logistics transport company established in 2019, who also works a casual job as an office administrator.
She owns an investment property worth $750,000, held solely in her name and rented at $525 a week. The loan on it was still shared with her ex-partner. She currently lives rent free in a family property.
Tax debt puts pressure on a business owner: the ATO wants it paid promptly, and the interest it charges is no longer deductible.
That pressure met three things the major lenders are generally reluctant to take on together: income evidenced by BAS, a tax debt to refinance, and a co-borrower to remove after a separation.
| Item | Position | Issue for a lender |
|---|---|---|
| Investment property | $750,000, in her sole name, loan shared with her ex-partner | Co-borrower has to come off the loan |
| ATO debt | $160,000 | Major lenders are reluctant to refinance tax debt |
| Income | $220,000 from her business | Evidenced by BAS and a declaration |
| Equity release | $25,000 for improvements | Cash out on top of a debt consolidation |
| Living arrangements | Rent free in a family property | A notional rent has to be allowed for |
The new loan does three jobs in one facility, in her name alone.
| Item | Figure |
|---|---|
| Existing investment loan refinanced | $260,000 |
| ATO debt consolidated | $160,000 |
| Equity released for improvements | $25,000 |
| Total loan | $445,000 |
At the time of this application, MA Money was selected for these reasons:
| Metric | Figure |
|---|---|
| Lender | MA Money |
| Outcome | Approved |
| Product | Near Prime Alt Doc, investment |
| Rate | 7.59% |
| Loan amount | $445,000 |
| LVR | 60% |
| Property value | $750,000 |
| ATO debt consolidated | $160,000 |
| Equity released | $25,000 |
| Income relied on | $220,000 business income plus $27,300 rent |
| Assessment time | 2 to 3 business days |
| Ex-partner | Removed from the loan, no separation agreement required |
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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.
