One diagram showing how a debt recycling loan is split, where the offset and redraw sit, and which way the money moves.
Home › Resources › Loan Split Structure Diagram
A debt recycling loan has two separated parts under one facility: a home split and an investment split, each with its own account number. The diagram shows how they connect to your offset and your portfolio.
It is the structure we build through our loan structure and splits service, drawn so you can share it with your partner, accountant or adviser.
For the reasoning behind each part, read loan splits explained.
Alex can look at how your loan is set up and tell you what would need to change. Free, no-obligation call, by phone or video.
Request a call with Alex →Money in an offset reduces the interest charged on the split it is linked to. Linked to the home split, it cuts your non-deductible interest, which costs you most. Linked to the investment split, it would reduce interest you could otherwise claim as a deduction.
Yes. Many people invest in stages, and each fresh tranche generally works best as its own split, with a clean start date and its own record. A client recycling over several years might hold a home split and three or four investment splits.
It often is, so the deductible interest stays clear each year and spare cash goes to the home split. Interest-only carries its own pricing and lender limits, and suitability varies. Your accountant or financial adviser confirms what suits you, and we confirm what lenders allow.
How we build the splits, sub-accounts and redraw for you.
Read more → GUIDEHow many splits you need, and why mixing them costs you.
Read more → RESOURCEThe order money moves, with a transfer log.
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.
