News and Events
Removal of genuine savings and update to household expense calculations
Thursday, 30th August 2018
After extensive analysis, Keystart is removing the requirement for genuine savings as part of our minimum deposit requirements, effective from 1 October 2018.
Customers will still need to have the required minimum deposit available at time of application, for example, 2% deposit. If customers are eligible for the first home owners grant (FHOG), this can be used towards the deposit requirement.
Calculation of expenses
Based on comprehensive research and modelling, Keystart is also replacing our current method of estimating customer expenses. Our new benchmark has a breakdown of expense categories, for example, food and groceries, clothing and personal care and medical, which must be completed in full.
Our new approach to household expenses will provide an accurate indication of a customer’s capacity to manage home loan repayments while maintaining the same level of household spending.
We check every applicant's situation carefully to ensure that our customers will be able to afford home loan repayments without getting into financial difficulty. We want our customers to be comfortable with the level of their home loan repayments. At Keystart we take our responsible lending obligations seriously.
This change will also take effect on 1 October 2018.