Mortgage assistance

If you are eligible you can apply for the early release of your superannuation benefits for mortgage assistance.

Eligibility

You may be eligible for an early release of superannuation for mortgage assistance if:

  • your mortgagee or council is threatening to repossess or sell your home due to arrears on your mortgage or council rates
  • the property under threat is your usual place of residence
  • you are responsible for the mortgage or rates repayments, and
  • you can’t afford to pay the arrears without accessing your superannuation

You will not be eligible for an early release of superannuation for mortgage assistance if:

  • you are not currently in arrears on your mortgage or council rates but expect to have difficulty making future repayments
  • you are in arrears on your mortgage or council rates but your mortgagee or council is not threatening to repossess or sell your home, or
  • you are in rental arrears

Supporting documents

For each loan you have secured by your home you need to provide a letter or legal notice which states separately:

  • that if the arrears amount is not paid within a specified time frame, the mortgagee will foreclose the mortgage, take possession of, or sell the security property
  • the current amount owing that must be paid in order to stop the action to sell or take possession of your property
  • the address of the property under threat of sale
  • the amount equal to 3 months of repayments for the loan
  • the amount equal to 12 months interest on the outstanding balance of the loan, and
  • the name of the mortgagee and the bank account number for the loan

For council rates you need to provide a letter or legal notice from your council which states:

  • the current arrears amount
  • that if the arrears amount is not paid within a specified time frame, the council will sell the home
  • the address of the property under threat of sale
  • the relevant state or territory legislation this action is being taken under
  • the length of time the rates have been in arrears, and
  • that the arrears will be accepted to stop the forced sale of the property

The letter or legal notice needs to be:

  • on the mortgagee or council’s letterhead
  • dated, and
  • no more than 30 days old

Maximum release amount

The maximum amount that can be considered for a mortgage release per superannuation fund within a 12 month period is the sum of:

  • 3 months repayments, and
  • 12 months interest on the outstanding balance of the loan

A release will only be made for the amount required to stop foreclosure action and allow for processing time. Further repayment may be released as well if it is within your available cashing restriction and net superannuation balance.

What you need to do

To apply for an early release of superannuation for mortgage assistance you need to:

  • complete an online application using your Centrelink online account through myGov
  • confirm your identity, and
  • provide all the supporting documents requested in the online application

Read more about how to apply.

Page last updated: 7 March 2016