Bank of Melbourne Home Loan Policy for Brokers 2026

Choose the Bank of Melbourne Product

Choose the application route before collecting documents: a purchase, an external refinance or a change to an existing Bank of Melbourne loan. Record whether the property is owner-occupied or an investment, who will borrow and how the money will be used.

Bank of Melbourne’s home loan range includes Basic variable, Standard variable with an optional offset account and fixed rate home loans. Match the features to the client’s needs, then use the documents for that product and transaction.

An existing customer seeking more money needs an increase assessment. The bank’s home loan increase guidance says variable loans support increases, with exclusions for relocation loans and loans in a trustee’s name. An increase on a fixed rate loan uses a separate account.

Available equity alone doesn’t establish that the client can afford the higher repayments.

Bank of Melbourne is a division of Westpac Banking Corporation. Its requirements and objectives form names Bank of Melbourne, St.George and BankSA together. That confirms a shared form.

It doesn’t establish identical underwriting, product availability or acceptance of a particular property across those brands.

Use Bank of Melbourne’s own credit guidance for the file. Its public home loan material excludes non-Australian resident borrowers. If residency or the proposed borrowing entity creates a case-specific question, settle it before ordering the rest of the submission.

Verify Income and Commitments

Select the income pathway before calculating serviceability, which is the borrower’s capacity to meet repayments after other commitments and living costs.

For pay as you go (PAYG) base income, the bank’s broker document checklist accepts two consecutive non-year-to-date payslips or one year-to-date payslip covering two pay cycles. The payslips must be no more than two months old at formal approval.

Split base pay from other income before applying the relevant policy.

Bank of Melbourne has several self-employed assessment pathways. Fast Track uses two years of personal Australian Taxation Office (ATO) notices of assessment for eligible borrowers.

The 1 Year Assessment requires at least two full financial years of trading, individual borrowers and a loan-to-value ratio (LVR) of 80% or less. Each borrower must meet its minimum credit bureau score of 650.

For the one-year route, sole traders need the latest personal tax return and notice of assessment. Partnerships, companies and trusts need the relevant entity tax return and latest balance sheet as well. Retain evidence for business debts and any proposed adjustments to income.

For Fast Track, avoid counting rent twice when it is already in taxable income.

The bank’s self-employed customer matrix distinguishes Fast Track from 1-Year, Latest Year and 2-Year Average assessment. The 1-Year route shades self-employed income by 10%.

Latest Year assessment depends on the business passing the applicable volatility or business activity statement test. Choose the pathway before carrying an income figure into the application.

Reconcile liabilities against the credit report and client records.

The broker checklist allows certain debts and repayment histories to be verified through comprehensive credit reporting (CCR). For debts missing from CCR, gather separate supporting evidence.

Property, Deposit and Refinance Conditions

Test the property and funds to complete against the proposed transaction, then use the bank’s valuation when calculating LVR. A client’s estimate of the sale price doesn’t establish the security value the bank will accept.

The application checklist asks for purchase-contract and deposit evidence. It also requests three months of external savings statements. Document where the contribution comes from, including any gift or asset sale, and reconcile it with the amount still needed at settlement.

In a fictional purchase, a $640,000 loan funds 80% of an $800,000 price. If the bank’s valuation is $760,000, the same loan is about 84.2% of that value.

The client then needs a revised funding plan or a different loan structure, subject to the bank’s acceptance.

Describe the property accurately, including its use and title type. Send an unusual security question with the address and relevant documents to the Bank of Melbourne business development manager (BDM). An advertised LVR tier doesn’t establish that every property in that tier is acceptable.

For a Bank of Melbourne refinance, show the current balance, the loan being discharged and the purpose of any extra funds. The bank’s refinance process asks applicants to account for exit costs and fixed rate break costs. It also asks for evidence of other debts being consolidated and details of any cash-out purpose.

The broker checklist says statements aren’t required to prove repayment history on most applications where CCR supplies that evidence. The consumer checklist asks for six months of existing loan statements.

Follow the broker pathway’s document rules and obtain statements where required for missing information or the chosen settlement process. Separate that evidence question from obtaining the outgoing lender’s settlement payout figure.

Build the Broker Submission

Build one submission that connects the requested loan to the borrower’s verified circumstances. Use the current Bank of Melbourne forms and resources, which separates application documents from post-settlement maintenance and security-release requests.

1. Record the purpose, product and proposed structure in the application notes. State the income pathway used and explain any unusual feature of the file.
2. Complete the applicable consents and identity checks. Remove tax file numbers from supporting records before submission.
3. Attach the income evidence and records for continuing commitments. Match borrower and entity names across the application and documents.
4. Reconcile the purchase contribution or refinance payout with the requested advance. Identify extra borrowing separately and attach its purpose evidence.
5. Resolve case-specific questions through the Bank of Melbourne broker channel. Keep the question, supporting facts and written response with the file.

Before lodging, compare the application totals with the source documents. The requested advance must account for the transaction, and each income figure must follow the selected assessment pathway. A rate quote or an example under another group brand can’t fill a missing policy decision.