Home Loan Experts

Quick Summary

Founded

1982

Owned by:

BNK Banking Corporation Limited ASX Listed

Funded by:

Retail deposits and wholesale capital markets

LMI Provider:

Genworth & QBE LMI

Lender type:

Banks, Online Bank

Note: BNK Bank is not an available lender on our panel. This is a review only.

Established in 1982 as Goldfields Money, they rebranded as BNK bank - a national digital challenger bank in February 2019.

The West Australian based lender merged with mortgage aggregator Finsure late last year and in May, they surpassed $200 million in on-balance sheet loans.

They are planning on serving “Enterprising Australians” like entrepreneurs, self-employed individuals, freelancers, whom BNK Bank has identified as high-value customers who are currently underserviced.

BNK being a digital bank focuses on using technology to better the customer experience. They make sure that the customer's experience is personalised, intuitive, convenient and, above all, simple.

How do BNK Bank’s Home Loan Compare?

Pros

Cons

  • Branches are limited to Western Australia
  • Valuation is not free (Fee is $330).
  • Maximum loan amount is $1,250,000
  • They charge a loan establishment fee of $350.
  • They don’t accept bad credit borrowers

What type of mortgage products do they offer?

BNK Bank’s rapid application process can help you gain a foothold in the property market sooner, especially if you’re buying your first home.

It specializes in four main areas:

  • Investment loans
  • First home buyers
  • Refinancing
  • Construction loans

They also work with expats who are able to secure loans for up to $1.5 million with 90% PAYG foreign income.

BNK Bank Client Story

Ken, VIC

Goal

Borrow 90% of the property value and pay no LMI (Lenders Mortgage Insurance).

Situation

Accountant, professional, refinance, rental income.

Background

Coming to the end of the fixed period of his CBA home loan, Ken was looking to refinance to a cheaper interest rate.

Earning $125,000 per annum at a private accounting practice, Ken was in a good position to qualify for a great interest rate but he was refinancing at around 90% of the property value.

This meant he would be hit with a large LMI bill, a cost he wanted to avoid.

Solution

After seeking advice from a mortgage broker, he was told that he could qualify for a significant interest discount and a 90% LVR (Loan to Value Ratio) LMI waiver with St George, Westpac and CBA because of his profession and income.

However, St George and Westpac wouldn't take into account his wife's income and would only take into account 80% of Ken's share of the rental income (50%) in an investment property they owned together.

In order to afford the refinance at 90% LVR and avoid LMI, Ken needed to include his wife's income and his share of the rental income to push his overall assessable income to $150,000.

At $125,000, this income alone wasn't enough to meet the bank's serviceability requirements.

CBA was the only lender that would take into account his wife's income and they would also accept 80% of the rental income for the entire investment property, not just Ken's share.

Ken was approved for the internal refinance with CBA and qualified for a 4.39% interest rate as a special deal with our brokers, an LMI waiver, and was even able to cash out $52,000 to put towards another investment property.

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Find out if you are qualified to apply with this lender

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Tips for Applying with BNK Bank

  • Use BNK Bank's home loan application form to prepare for your mortgage application.
  • Note: This is the latest application form as of December 2020. Please refer to BNK Bank's website for their most up-to-date document requirements.

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