AMP Bank SuperEdge SMSF Loan

Features

The main feature of the SuperEdge SMSF Loan is that you can access your self-managed superannuation fund in order to borrow funds to purchase an investment property for residential purposes.

You can borrow up to 70 per cent of the value of a property and there is a minimum and maximum loan amount that can be borrowed as well as a minimum and maximum loan term.

While you can choose to have a fixed or variable rate, or to split your loan, the rates offered by the SuperEdge SMSF Loan are all very high compared with traditional home loans. However, by SMSF home loan standards this rate is average.

There are flexible options in the way you can repay this home loan. Principal and interest payments can be made weekly, fortnightly or monthly and interest-only repayments can be made monthly, though there is a maximum term interest-only repayments can be made.

A 100 per cent offset account is also available which could help you pay off your loan faster by using a transaction account that offsets your interest. Although, this option is only available to variable rate customers.

Variable rate customers can make an unlimited number of early repayments and fixed rate customers can make a maximum number of additional repayments annually. However, there is no redraw permitted with this loan.

Who is the AMP SuperEdge SMSF Loan good for?

The SuperEdge SMSF Loan by AMP Bank is suitable for new loans and refinancing of investment properties for residential purposes.

This loan is good for investors who want to access their SMSF in order to finance an investment property purchase and who would like flexibility in how and when they repay their loan. It would not be suitable for owner-occupier borrowers wanting to live in the purchase.

Review - What RateCity says

The AMP Bank SuperEdge SMSF Loan is attractive for investors since interest-only repayments can be made at a fixed interest rate for a period during the life of the loan.

This loan also has flexible repayment options with principal and interest or interest-only repayments as well has 100 per cent offset account availability for variable rate customers.

However, the high establishment fee and high interest rates might offset the offered benefits so it’s best to research your needs against the pros and cons of this loan to see if it’s a suitable option for you.

AMP Bank SuperEdge SMSF Loan Options

With variable and fixed rate options, the AMP Bank offers different SuperEdge SMSF Loan options to suit. Click the links below to find out more information about these options.

Pros
  • SMSF lending.
  • Principal and interest or interest-only repayment options.
  • 100 per cent offset account for variable rate customers.
Cons
  • High fixed and variable interest rates compared with more traditional home loans, but average for this type of product.
  • High establishment fee.
  • No redraw facility.
Eligibility

Residential investment property via SMSF.

Must be an Australian resident.

Must be able to provide proof of income.

Must be over 18 years of age.

About AMP Bank

AMP Bank is a wealth management company located in Australia and New Zealand specialising in financial advice, superannuation and investments.

AMP Bank offers telephone, internet and mobile banking. Customers have access to the rediATM network operating Australia wide. Financial advice services are also available.

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