National Australia Bank (NAB) publishes its own debt recycling guide, and its variable loans have the splits and redraw the strategy needs. The details to check are how you split, where redraw goes and what each split costs.
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In many cases, yes. NAB explains debt recycling on its own website, and its variable home loans can be split, redrawn and linked to offset accounts.
What decides it is how your NAB loan is split now, whether any part is fixed, and how much NAB will lend against your income. If you are new to the strategy, our homepage explains how debt recycling works.
Facts on this page are according to NAB's website (November 2026). Lender policy changes, so we confirm current policy with NAB before any application.
NAB's debt recycling page is written for people who already have a loan on the home they live in. Its steps, in short:
NAB says the strategy generally suits plans of around 10 years or more. It names market falls, rate rises and cash flow discipline as the main risks, and suggests advice from a financial adviser, accountant or home loan expert.
Its split loan page adds that investors may prefer more of the loan on a variable rate to support debt recycling.
| Feature | What NAB's Website Says | Why It Matters |
|---|---|---|
| Offset accounts | Up to 10 offset accounts on the NAB Tailored Variable Rate with Offset home loan. NAB's fixed rate home loans do not come with an offset. | Savings sit against the non-deductible home split. |
| Redraw | Available on NAB Base Variable Rate and Tailored Variable Rate with Offset loans once you are at least one scheduled repayment ahead. From $500 up to $150,000 per transaction. | Larger amounts may need more than one transaction. |
| Redraw destination | Redraw funds can only be paid into an eligible NAB account. | The money stops in a NAB account before it reaches your investment. |
| Fixed portions | Extra repayments up to $20,000 within the fixed term without fees. Redraw only becomes available when the rate turns variable. | Keep the fixed split apart from the splits you recycle. |
| Monthly fee | A $12 monthly loan service fee per loan account on the Tailored home loan. NAB's fees page lists $0 for the Base Variable Rate loan. | Several splits could mean several fees. |
| Choice Package | No longer sold to new customers since 2023. Existing packages keep their benefits. | Matters only if you already hold one. |
The layout we usually build, with offsets on the home split, is on our loan structure page.
Because redraw lands in a NAB account first, use an account that holds nothing else and move the money on to your investment straight away. Our redraw contamination guide explains why a clean trail matters.
Keep each split to a single use. The Australian Taxation Office (ATO) says only interest incurred for an income-producing purpose is deductible, and interest on mixed-purpose borrowing must be apportioned.
One of our published case studies used NAB. A self-employed director refinanced to NAB with a $1,155,000 owner-occupied split and a separate $575,000 investment split, set to interest only, to invest in shares.
At the time of that application, NAB's policy accepted his director's salary annualised over six months, with no minimum period for the business's Australian Business Number (ABN), as long as the salary could be evidenced through the ATO for more than six months. Read the full self-employed NAB case study for the details.
If your NAB loan is variable and can be split, recycling may only need a new split and a redraw. Recycling existing debt this way doesn't add to what you owe.
A move is worth weighing when the loan can't be split the way you need, the fees across several splits add up, or NAB won't release the equity your position supports. Our page on refinancing for debt recycling lists the costs to count.
NAB is on our panel of 40+ lenders. We look at your existing NAB loan first, before any talk of moving.
Kingfisher Finance Group arranges the lending. Investment recommendations come from your financial adviser, and the tax position from your accountant or registered tax agent.
Debt Recycling Loans is not affiliated with NAB. NAB is one of 40+ lenders on our panel.
NAB's own guide describes debt recycling, and its variable loans have the splits, redraw and offsets the strategy uses. The practical limits are how splits are booked, redraw landing in a NAB account first, and the fee on each loan account.
A free call with Alex will show whether your NAB loan can recycle as it stands or needs to change.
Talk to Alex on a free, no-obligation call about splitting and redrawing on your NAB loan.
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NAB explains debt recycling on its own website and names a split loan or a line of credit as ways to access equity. Whether your loan suits it depends on your loan type, equity and borrowing capacity.
Only into variable and fixed portions, according to NAB's website. Other splits, such as two variable portions, need an appointment with a NAB home loan expert.
NAB says redraw funds can only be paid into an eligible NAB account. From there, move the money to your investment platform promptly and keep the records.
Yes. NAB's website lists a minimum of $500 and a maximum of $150,000 per redraw transaction, and you need to be at least one scheduled repayment ahead.
No. NAB says its fixed rate home loans do not come with an interest offset facility. Its variable rate with offset loan allows up to 10 offset accounts.
No. NAB says the Choice Package is no longer available for sale, though existing packages keep their benefits, including adding or removing lending.
What a debt recycling home loan needs: separate splits, usable redraw, the right repayment type and fair fees, and whether to vary or refinance.
Read more → CASE STUDYA company director with six months of salary history released $575K of home equity to invest in shares. $1.73m of lending with NAB at 69.2% LVR.
Read more → GUIDEWhich lenders support debt recycling? Compare loan features, borrowing capacity, refinancing costs and why lenders decline, with worked lending scenarios.
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.
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Bring a rough picture of your home loan, income and savings. You will come away knowing whether the lending side looks workable.
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