Xavier is the proud owner and founder of Go Mortgage, an award-winning broker and office located in Arundel on the Gold Coast. Xavier has been working in the finance industry for over 21 years and holds a Diploma in Financial Services and a Degree in Financial Planning. Since 2006 Xavier has been committed to providing 5-star service and helping his clients realise their property dreams.
One of the biggest challenges for those looking to enter the property market for the first time is building up a deposit. Go Mortgage has access to multiple banks & Lenders that partner with the Australian Government on the First Home Loan Deposit Scheme (FHLDS) to help more first home buyers reach their dream of home ownership sooner.
What is the Scheme? The FHLDS is an Australian Government initiative that will support eligible first home buyers to purchase a home with a deposit of as little as 5%. The National Housing Finance and Investment Corporation (NHFIC) will then provide a guarantee covering up to 15% of the property’s value.
What does that mean to you? Thanks to this guarantee, as a First Home buyer, you are able to purchase a property with a 95% LVR loan and yet pay ZERO Lenders Mortgage Insurance (LMI).
Who is eligible? Find out if you meet the Scheme’s eligibility criteria. Please note that this tool is provided as a guide only and does not guarantee that you will receive either a Scheme place or a loan from Gateway Bank.
Eligibility Checklist: – Do you have your Notice of Assessment, issued by the ATO, for the last Financial Year ?
– Was your taxable income no more than $125,000 as a single, or no more than $200,000 as a couple (spouse or de facto) in the last Financial Year?
– Are you an Australian citizen?
– Are you 18 years or over ?
– Do you satisfy the prior property ownership test? (i.e. have you never directly or indirectly owned real estate)?
– Do you have a deposit of between 5% and 20% of the purchase price of the property you would like to purchase?
– Do you intend to reside in the property you purchase as an owner-occupier while your home loan is guaranteed under the Scheme?
– Is the property purchase price within the threshold for your property’s suburb and postcode? You can check this using the NHFIC’s property price threshold tool.
As Australians everywhere take a close look at their financial circumstances, mortgage brokers stand ready to lend a helping hand.
Whether experiencing financial hardship through job loss, a reduction in work hours, or business disruption, an increasing number of Australians may be struggling to balance their books as a result of the Coronavirus, and in many cases are wondering how they will continue to pay the bills. There is nothing to be ashamed of or concerned about… just reach out
Difficulty with repayments
According to research conducted by Finder in early 2020, about one in five mortgage borrowers, or about two million Australian households, were struggling to make repayments, despite record low interest rates.
And with the challenging circumstances that have emerged since, it is anticipated that these pressures will only increase forcing more people to require financial assistance.
Financial relief strategies
In this difficult time lenders have responded by announcing financial relief strategies. In an official Australian Banking Association (ABA) statement, CEO Anna Bligh said, “Banks stand ready to support customers and if anyone is in need of assistance, they shouldn’t wait but come forward as soon as possible”.
Different lenders have different assistance options. These may include, waiving fees on early term deposit withdrawals, interest rate freezes on loans, options to defer or restructure home loan repayments, and emergency credit card limit increases.
Brokers’ expertise in helping customers navigate the complex home lending market is also essential – their intimate understanding of their customers’ personal circumstances – means they are uniquely positioned to provide critical support for customers when discussing debt consolidation, refinancing for a better rate & cashflow improvement.
According to ASIC’s Moneysmart research (June 2024), 47% of Australian adults with debt, or around 5.8 million people, have struggled to make repayments in the past 12 months. If you’re one of them, you’re far from alone.
And here’s the thing, most people don’t realise: requesting a hardship mortgage loan arrangement isn’t a sign of failure, and it won’t automatically damage your credit record. Under Australian law, it’s a legal right. Your lender is obligated by the National Credit Code to consider every hardship request.
This article explains what mortgage hardship assistance looks like, how to ask for it, what happens to your credit file, and what to do if the pause alone isn’t enough.
What Is Mortgage Hardship Assistance?
A hardship variation is a formal change to your loan terms because you can’t reasonably meet your current repayments. It’s governed by Section 72 of the National Credit Code – the legislation that applies to all regulated consumer credit contracts entered into from March 2013 onwards, regardless of loan size.
Common triggers include:
Job loss or reduced hours
Illness or injury
Separation or divorce
Family violence
Natural disaster
Business downturn
Ongoing cost-of-living pressure
You don’t need to be in crisis to apply. If you can see a problem coming, like your fixed rate rolling off, or you’ve just gone down to one income, contacting your lender early gives you the most options. Financial hardship mortgage assistance is designed for exactly these situations.
What Mortgage Payment Relief Options Can You Ask For?
Lenders have a range of tools available under mortgage payment relief arrangements. The most common are:
Full repayment pause (deferral)
Repayments are suspended for an agreed period, typically one to six months. This buys breathing room, but interest keeps accruing – your loan balance will be higher at the end of the pause than when it started. Many borrowers miss this, so it’s worth understanding before you commit.
Reduced repayments
You pay a lower amount each month while you stabilise your finances, then return to normal repayments.
Interest-only period
You cover the interest component only, temporarily reducing your monthly commitment.
Loan term extension
Spreading your remaining balance over a longer period reduces your ongoing repayments.
Capitalising arrears
Any missed payments are added to your loan balance and spread out, removing the immediate pressure of catching up.
Fee waivers or reduced interest
Some lenders will waive default fees or reduce the interest rate for the hardship period.
Each of these is a form of financial hardship mortgage assistance, and what’s available will depend on your lender and your specific situation. The key point: there are more levers to pull than most borrowers know about.
How to Apply for Financial Hardship Mortgage Assistance
The process is more straightforward than people expect. Here’s how it works:
Step 1: Contact your lender’s hardship team early
Don’t wait until you’ve missed payments. The earlier you make contact, the more options are on the table. Call the main number and ask specifically for the hardship or financial assistance team.
Step 2: Submit a hardship notice
This can be done by phone, via an online form on your lender’s website, or in writing. There’s no specific format required; you’re simply notifying the lender that you’re experiencing, or expect to experience, difficulty making repayments.
Step 3: Provide supporting information
Be ready to explain your income and expenses, what caused the hardship, how long you expect it to last, and what arrangement you’re proposing. You don’t need to have a perfect answer to every question; lenders just need enough to assess your situation.
Step 4: Wait for a response
Your lender must respond in writing within 21 days. This is a legal requirement under the National Credit Code, not a courtesy.
Step 5: Get the arrangement in writing
If approved, make sure the terms are confirmed in writing before you change how you’re paying.
The 21-day rule matters. In August 2025, the Federal Court ordered NAB and its subsidiary AFSH to pay a $15.5 million penalty after failing to respond to 345 hardship applications within the 21-day timeframe required by law. The court found the failures left customers unaware of the outcome of their applications at a time when they needed clarity most. This precedent confirms that the timeframe is enforceable; your lender can’t simply leave you waiting.
What Happens to Your Credit File?
This is the question most people are quietly worried about, and it’s worth addressing clearly.
Simply asking about hardship, or having a conversation with your lender, will not appear on your credit file at all. Once a hardship arrangement is formally agreed, a financial hardship indicator may appear next to your repayment history for the period of the arrangement and stays on your file for 12 months from each month it’s reported. This indicator doesn’t affect your credit score directly, but it does show future lenders that an arrangement was in place.
Here’s the important comparison: missing payments without any arrangement in place is significantly worse. Missed payments can be listed as defaults, and defaults stay on your credit file for five years. Acting early and arranging a hardship mortgage loan variation is always the better outcome for your credit record.
The 2022 hardship reporting reforms changed how this information is recorded, so if you’ve heard older advice suggesting hardship arrangements don’t appear at all, it’s worth knowing the rules have changed.
When a Hardship Pause Isn’t Enough
Sometimes a short-term pause solves the problem. But if the financial pressure is ongoing, if you have a permanent income reduction, a long-term health issue, or a structural change in your household budget, a temporary deferral might just delay the stress rather than resolve it.
In those situations, it’s worth exploring:
Refinancing – If your current loan has a rate or structure that no longer suits your situation, moving to a different product through a refinance home loan broker could reduce your ongoing repayments meaningfully.
Debt consolidation – Rolling multiple debts into a single lower-rate loan can reduce total monthly outgoings.
Selling on your terms – If the loan isn’t sustainable long-term, selling before the lender moves to enforce is always better than a forced sale. It gives you more control and more time.
Free financial counselling – The National Debt Helpline (1800 007 007) connects you with qualified financial counsellors at no charge. They can help you map out your options, negotiate with lenders, and work out a realistic path forward.
It’s also worth knowing that if you’re a first-home buyer navigating this, there may be government support options worth revisiting, including the first home loan deposit scheme, though your broker can advise what’s relevant to your specific situation.
How a Mortgage Broker Can Help
Dealing directly with your lender during financial stress isn’t always straightforward. A broker can act as an intermediary – liaising with the hardship team on your behalf, helping you frame your situation clearly, and making sure the right information is in front of the right people.
Beyond the immediate hardship application, a broker can assess whether your current loan is actually the right fit for where you are now. If refinancing to a lower rate or a more flexible structure would reduce your repayments enough to remove the hardship entirely, that’s often a better long-term outcome than a pause followed by a return to the same pressure.
At Go Mortgage, we work across 30+ lenders, and we’ve helped clients in all kinds of situations, not just those buying their first home or upgrading. If you’re feeling the pressure on your repayments and want an independent view of your options, our team is happy to have that conversation.
As a finance broker on the Gold Coast, we can look at your full picture and give you a clear sense of what’s available, without any obligation to proceed.
No. Asking your lender about hardship options doesn’t appear on your credit file at all. Once a formal arrangement is agreed, a financial hardship indicator may be recorded next to your repayment history for the period of the arrangement, but this does not affect your credit score. What does affect your score is missing payments without any arrangement in place, which is exactly why applying for a hardship mortgage loan variation early is the right move.
It depends on the lender and your circumstances, but most hardship deferrals run for one to six months. Some lenders will consider longer arrangements in cases of serious illness or family violence. There’s no fixed cap in the National Credit Code, but the arrangement needs to be something the lender believes you’ll be able to resume from, so longer pauses typically require more supporting information.
Yes, in most cases. Interest continues to accrue on your outstanding balance during a repayment deferral, which means your loan balance will be higher at the end of the pause than when it started. The deferred interest is typically added to the loan balance (capitalised) and repaid over the remaining term. It’s important to factor this in when deciding whether a full pause or reduced repayments is the better option for your situation.
Yes, in most cases. Interest continues to accrue on your outstanding balance during a repayment deferral, which means your loan balance will be higher at the end of the pause than when it started. The deferred interest is typically added to the loan balance (capitalised) and repaid over the remaining term. It’s important to factor this in when deciding whether a full pause or reduced repayments is the better option for your situation.
Yes, but they must give you a written reason within 21 days. They may refuse if they don’t believe you’ll be able to meet the proposed new arrangement, or if the hardship doesn’t meet the definition under the National Credit Code. If you’re declined and you disagree with the decision, you can escalate to AFCA free of charge. AFCA is an independent body with the authority to review lender decisions on financial hardship mortgage assistance applications.
This is a situation worth getting ahead of rather than waiting until the pause expires. If the underlying financial issue hasn’t been resolved, speak to your lender again before the arrangement ends – they may be able to extend it or vary the terms. It’s also worth speaking with a mortgage broker about whether refinancing to a lower rate or longer term could make your ongoing repayments more manageable. Free financial counselling through the National Debt Helpline (1800 007 007) is also available if you need independent support.
No. Mortgage payment relief through a hardship arrangement is a temporary change to your existing loan, it doesn’t change your lender, your rate, or your loan structure in any lasting way. Refinancing means moving your loan to a new product, often with a different lender, to secure better terms with a lower rate, more flexibility, or a structure that suits your current situation better. They serve different purposes, and sometimes the right answer is to do one, then the other. A broker can help you work out which applies to your circumstances.
Disclaimer: This article is general in nature and does not constitute financial advice. Please speak with a qualified professional about your individual circumstances.
Go Mortgage is very proud to be the major sponsor of our local Taekwondo club, Baekjul Blackbelt Academy.
We are committed & excited to supporting our children and their piers to observe and implement the Tenants of Taekwon-Do.
Courtesy, Integrity, Perseverance, Self Control and Indomitable Spirit.
Respect, trust and open communication are the foundations of strong families & absolutely in line with the values of our business. Taekwondo training promotes values such as honesty, courtesy, loyalty, and cooperation. Each of these skills is an essential component in maintaining a good family structure, a healthy mind and good social habits.
Tournaments are a key part of any martial arts’ student’s training. They present the opportunity to test physical and mental skills in a friendly, competitive and controlled environment. Supporting these competitions mean more students can be recognised for their achievements and ‘give it a go’ attitude.
Congratulations to all the competitors in the recent Bai Rui Regional Championships in Ipswich bringing home 3 gold, 8 silver and 14 bronze.
Over 40% of Australians have lived at the same address for over 10 years. This means that when it comes to selling a property, you need to be extra sure you have done all you can to make it as appealing as possible to prospective buyers; the stats show after all that they are likely to be looking for something long-term. Whether or not you opt to make big renovations to improve your property’s value, there are several simple things you should do to improve your chances of making a successful sale.
Clean it inside and out
Almost 2.1 million Australians own one investment property or more. However, it goes without saying that, no matter who buys your home – whether that be an investor, a family or a single person, you need to make sure you give it a thorough clean from top to bottom. Doing so will ensure that people get the very best impression of the house, whether they visit it in person or take an online tour of the property.
Put time into your garden
It can be easy to focus so much on the inside of a residence that you forget about the outside. People’s first impression of a home will come from its exterior, so be sure to put a lot of thought into making it presentable and appealing. For example, mow the lawn and treat any weeds or moss effectively. Tidy up any decking and add just a few tasteful plants to make the garden inviting and attractive.
Minimise clutter
Arguably the most important aspect of preparing a property for a sale is making it as clutter-free as possible. This is because clutter has a negative impact on the brain, and is likely to make your home less appealing to potential buyers. With this in mind, take the time to go through each room and remove any unnecessary items. This will have the benefit of making each room seem more spacious, while also making people feel more relaxed in the room in the process.
Put the time into prepping your home
When it comes to selling your home, there are lots of things you can do in preparation to make it as desirable as possible to potential buyers. Creating a sense of space and a welcoming feel needs to be a priority. Ask friends or family members to walk around the property and give you feedback. By putting the thought and time into preparing your property, you give yourself the best chance possible of selling it a price you are happy with.
Comprehensive Credit Reporting and the new Open Banking world will have an effect on your mortgage approval.
Will it be easier or will it be Harder? Let’s find out…
The way Australian lenders assess borrowers continually evolves.
In 2018, the major banks began Comprehensive Credit Reporting, including providing “positive” information to credit reporting agencies about borrowers, such as how often they pay bills on time, as well as more detailed information on credit accounts such as dates opened and closed, credit limits and the type of credit provided.
In 2019 this is stepped up further with the major banks beginning to provide access to data regarding your credit and debit cards, deposit and transaction accounts, and later in 2020 on mortgage accounts.
Why does this matter?
It’s now easier for lenders to get a more complete picture of your spending habits and your repayment history when assessing your loans.
Lenders will be able to see your day to day living expenses, rather than relying on estimates.
You will have the power to share your data with any other provider you want which could possibly assist in negotiating a better deal for your financial products if you have a good history and your spending is in check.
How to make your comprehensive credit report shine
Pay your debts on time, including bills for mobile phones, internet and utilities.
Do not overdraw your credit card and be careful with services like AfterPay and zipPay as they may appear on your credit report.
Be careful with discretionary spending like Uber Eats, sports bets and nights out.
Check your credit score to ensure there is no incorrect information or outstanding credit facilities like old store cards*.
Whether you are looking for your first home, next home, an investment or to refinance, contact us today to review your situation.
We can, with your permission, assist you to check your credit file and provide you with guidance to help make the loan process as smooth as possible.
With access to over 35 lenders, we can provide you with choice, and options to secure your finance… the game is no longer just about interest rates… it is about matching your circumstances to bank policies so that you obtain the loan approval you are looking for.
Purchase a new or second hand asset such as a motor vehicle, computer equipment, an Air conditioning system, a solar system or business machinery for $30,000 or less and claim an immediate tax deduction. There are no limits on the amount of assets you purchase as long aseach asset in under the $30,000 threshold.
If your business is registered for GST then it is GST exclusive prices that count. You can then also claim the GST back from the Tax man as well on each purchase.
This is the easiest and fastest way to reduce your taxable income when so close to the financial year
The instant asset write-off program is one of two major budget policies benefiting small business.
While the asset-write off was introduced as a measure pitched at “tradies”, Small Business Treasurer Josh Frydenberg said “hundreds” of small businesses had told him the write-off rules allowed greater investment in capital equipment. Only a few measures are not eligible for instant write off, such as office plants and in-house software.
And the other reason why it works so well is that this plant & equipment can be easily financed – often on a LowDoc basis for commerical use – Ask us how
Examples:
Pamela bought a second hand skid steer loader for $17,000 on 08 April 2019 which is used solely in her landscaping business. As the depreciating asset cost less than $30,000, Pamela will be able to claim an immediate deduction for this asset.
Owen bought a new Solar System & Air conditioner for $35,000 on 28 November 2018 which are used solely in his manufacturing business. As he obtained 2 separate invoices each under $20,000, Owen can claim an immediate deduction for both these assets.
Mary intends to buy a new delivery van for her courier business in June 2019. Her business is registered for GST and the van cost $24,500 excluding GST. Mary will be able to claim an immediate deduction for this asset this year as well as the GST in this BAS period.
Let us improve your business & Finance your new vehicle or equipment
You’ll benefit from Low repayments and an instant Tax Write Off
A low deposit home loan lets you borrow more than 80% of a property’s value. It might only require a 5% deposit and let you buy your property sooner.
How small can my deposit be?
The standard deposit size for most lenders is 20% of the property’s value. In other words, borrowers need a loan-to-value ratio (LVR) of 80%. Low deposit loans come with an LVR of 90 or 95%. This means you can potentially get a mortgage with just a 5% deposit.
There must be a catch, right?
There is. If you’re borrowing more than 80% of a property’s value you will have to pay lenders mortgage insurance (LMI) as well. Depending on how much you’re borrowing this can be a significant cost, ranging from several thousand dollars up to ten or even twenty thousand dollars.Usually this translates into you requiring about 5% for the deposit and 3% for the LMI – this equal to a total of 8% required.If you’re buying an $500,000 property, a 20% deposit is $100,000. A 8% deposit is just $40,000. That’s a huge difference.traditionally some lenders allowed to capitalise your LMI, meaning you can add this cost into your borrowing amount. But with the recent squeeze of APRA onto the health of the financial system, most lenders have exited out of this space.
The low deposit trap: Be sure you have cash to cover all your costs
Saving a 5% deposit is much easier than saving a 20% deposit. But you need to make sure you have money saved up to cover all your other home buying costs.
This includes LMI, stamp duty, government fees, conveyancing costs and upfront lender’s fees.
Don’t forget to add in things like legal fees, conveyancing fees and transfer fees to your total.
Is it harder to get approved for a low deposit home loan?
While the banks might advertise that you can borrow up to 95% of the purchase price of your new home, it’s important to realise that lending criteria still apply:
Good credit history. In order to get your loan approved at a high LVR like 95%, you will need to have a clean credit history. This means you should have no defaults showing on your credit report for missed payments on other bills.
Good employment history. You will also need to demonstrate that you have a stable employment history. This means showing that you’ve been in the same job for at least 6-12 months, or been working within the same industry in a similar role.
Genuine savings. If you can show where your 5% savings amount came from, this will go in your favour. For example, showing your savings account statements with regular deposits going into it will be viewed favourably.
Good asset position. The credit assessor will view your existing assets and consider them in terms of whether you’re doing well based on your age and income. For example, if you’re a first home buyer and you have 5% savings and a car, this may be considered a positive asset position for your age and income.
Controlled debts. If you submit your home loan application and it shows that you have several credit cards, a car loan, and a personal loan all outstanding, it’s likely your loan will be declined. Consolidate your debts and pay off the most urgent ones. Credit card debt is a bigger red flag for a lender than an HECS student debt, for example.
Can I still get a no deposit home loan?
True no deposit mortgages are largely a thing of the past. Most banks won’t throw 100% of a property’s value at you. But there are some exceptions to this rule. These exceptions could be very useful for borrowers who are having trouble saving a deposit.
Gifted deposit. If you have generous parents with some cash in the bank, they can give you part of your deposit as a gift. If you’re able to reduce your loan amount so you’re only borrowing 90% of the purchase price, some banks won’t ask you to prove that you have genuine savings. This means mum and dad need to come up with 10% of the purchase price and offer it to you as a gift. Learn more about using parental gifts as deposits.
Guarantee from parents. If your parents own their home and they are happy to act as guarantors on your mortgage, you could borrow 100% of the purchase price of your new home without having any savings. Essentially, the bank takes a guarantee from your parents that is secured by the equity they have in their own property. Just be absolutely sure that you and your parents understand all the implications of guarantorship before you enter into this type of agreement.
Existing property. If you already have equity in your family home, you may be able to use this to secure the purchase for your next property. Effectively, this lets you borrow 100% of the purchase price of your new property without having any savings.
Wondering how to pay off your home loan sooner? We look at some things you could do.
Australian home loan interest rates remain at historic lows, and the opportunities for paying off a mortgage early are better than ever. Used in conjunction with low rates, here are some extra steps that can speed up loan repayments and reduce your loan balance.
Make higher repayments
One of the easiest ways to quickly reduce the balance of your mortgage is to make larger loan repayments. The minimum repayments required on a loan are calculated on the amount owing and the prevailing home loan interest rate. Repaying more than the minimum can cut the overall term of the loan and save you thousands of dollars in interest. A mortgage repayments calculatorwill quickly show what savings can be achieved.
Some lenders may charge you an early payment cost for paying your loan in advance. This is particularly the case with fixed-interest loans, so it’s always best to check up-front. These costs can be large.
Make more frequent repayments
Home loans are often structured so that you make monthly repayments. But making fortnightly repayments instead can reduce the term of a loan and save interest. By making fortnightly repayments, you are paying the equivalent of half of your monthly repayment every two weeks. This allows you to make the equivalent of one extra monthly repayment per year. Extra repayments will ensure the loan balance is lower at the time of the month the interest is calculated.
Use an interest offset account
Most lenders allow you to package a mortgage with an interest offset account. An offset account allows you to reduce the amount of interest paid on your loan by offsetting the amount in the (offset) account against your loan balance. Wages and other income can be deposited into your offset account. Note that you don’t earn interest on the funds in the offset account, and that offset is usually only available on variable rate loans.
Although obvious, many borrowers take out a mortgage and then stop following the home loan market. With interest rates constantly changing, it pays to monitor the latest rates. If rates go down, contact your broker and ask if they can reduce the rate on your loan.
Don’t take the rate cut
When a lender reduces the interest rate on its home loans, usually in line with a cut in official interest rates, your first thought may be to reduce your loan repayments accordingly. However, by maintaining your loan repayments, you effectively repay more than the minimum loan repayment. If it’s possible to do so, this will help you cut the term of the loan and save on interest.
Pay both principal and interest
While you can make lower repayments by choosing an interest-only loan, doing so means the principal component of the loan will not be repaid while you are only paying interest.
Pay fees upfront
When initially taking out a mortgage, lenders will often roll the establishment costs and charges into the loan. While this may help the short-term budget, it’s worth paying these costs separately to lower the overall balance of the loan from the start.
Use your home equity
As home prices rise, you build more equity in your property. Redrawing funds from a home loan to pay for renovations and other costs can be a much cheaper source of funds than others.
Set up a split loan
A split loan, sometimes referred to as a combination loan, enables borrowers to divide their mortgage into both variable and fixed components. By doing this, you can not only make extra payments on the variable component, but also lock in a lower fixed rate. Extra payments can often be made on the fixed loan too, up to a limit specified by the lender.
Get a financial package
You can often lock in a discounted loan rate with a financial package and also find special rates on other products and services. Putting those savings into your mortgage is a great way to get the best of both worlds.
With just a few easy steps, borrowers can significantly reduce the length of their mortgage and save thousands of dollars in the process. A mortgage broker can assist you in setting everything up.
Home
Our Services 
Our Team 
Calculators 
Quick Links 
Contact Us
Library 
1300 855 244
Over 40% of 
Wondering how to pay off your home loan sooner? We look at some things you could do.
1300 855 244