FINSTREET Debt Consolidation: A Guide for Australian Brokers
05/11/2026
FINSTREET Debt Consolidation gives Australian mortgage brokers three property-secured options to explore: Prime, Near Prime Clear and Near Prime. These products can support the consolidation of eligible debts through refinancing for acceptable owner-occupied and investment property scenarios. Full Doc and Alt Doc pathways are available, with different loan limits, LVRs, income evidence and eligibility requirements.
Prime and Near Prime Clear offer loan amounts up to $5 million including fees; Near Prime offers up to $2.5 million including fees. There is no set limit on the number of eligible debts, but the debt types accepted, total borrowing, property, repayment capacity and credit assessment still determine what can be considered. A product limit is not an approval or a recommendation.
FINSTREET Debt Consolidation at a glance
- Three products: Prime, Near Prime Clear and Near Prime.
- Loan amounts: up to $5 million including fees for Prime and Near Prime Clear; up to $2.5 million including fees for Near Prime.
- Documentation: Full Doc and Alt Doc options, with product-specific income evidence and business-tenure requirements.
- Eligible debts: no set limit on the number, subject to accepted debt types, status and product rules.
- Assessment: security, valuation, fees, current policy, repayment capacity and credit assessment apply.
What is property-secured debt consolidation?
Debt consolidation brings several eligible debts into a new loan. When arranged through home loan refinancing, the proposed facility is secured against an acceptable property. A broker needs to review the existing liabilities, payout amounts and proposed loan together, then assess whether the structure addresses the client’s objectives and remains suitable.
Credit cards and personal loans may form part of a consolidation discussion, subject to the selected product’s accepted debt types. Prime is limited to eligible consumer debts and excludes tax and business debts. For Near Prime Clear and Near Prime, confirm accepted debt categories and any debt-status conditions with FINSTREET Credit before presenting a proposed structure.
Compare Prime, Near Prime Clear and Near Prime
The table below compares the main features relevant to a debt-consolidation refinance. Full Doc refinance limits and Alt Doc refinance limits are different. The highest figure in one product or documentation category should not be applied to another. Confirm the current requirements for the specific application.
| Feature | Prime | Near Prime Clear | Near Prime |
|---|---|---|---|
| Maximum loan amount | Up to $5 million including fees. | Up to $5 million including fees. | Up to $2.5 million including fees. |
| Full Doc refinance LVR | Up to 95%, including fees. | Up to 95%, including fees. | Up to 90%. |
| Debts to consolidate | Unlimited eligible consumer debts. Tax and business debts excluded. | Unlimited eligible debts. Confirm accepted debt types and status with Credit. | Unlimited eligible debts. Confirm accepted debt types with Credit. |
| Self-employed Full Doc | Last 2 years of financial statements. | Last 1 year of financial statements. | With clear credit: last 1 year of financial statements. Otherwise: 2 years. |
| Alt Doc refinance LVR | Up to 95%. | Up to 90%. | Up to 80%. |
| Alt Doc ABN / GST tenure | ABN 24 months; GST 12 months. | ABN 24 months; GST 12 months. | With clear credit: ABN 12 months / GST 6 months. Otherwise: ABN 24 months / GST 12 months. |
| Alt Doc accountant’s letter | Up to $3 million customer exposure, subject to policy. | Up to $3 million customer exposure, subject to policy. | Clear credit + 12-month ABN: up to $1.5 million. Above $1.5 million requires a 24-month ABN. |
| Cash out | Full Doc and Alt Doc: unlimited up to 95% LVR, subject to the base-LVR and fee conditions below. Business use excluded. | Full Doc: unlimited up to 95% LVR, subject to the base-LVR and fee conditions below. Alt Doc: unlimited for acceptable purposes. Includes renovations and business use. | Unlimited for acceptable purposes, including renovations and business use, within applicable loan and LVR limits. |
LVR and cash-out notes: The 95% cash-out figure comprises up to 90% base LVR plus a capitalised Lenders Protection Fee (LPF). Cash out above $100,000 may require purpose verification. “Unlimited” remains subject to acceptable purpose, overall borrowing, security and product limits. Purchase LVRs shown in a product guide or the Toolkit are separate from debt-consolidation refinance limits; for example, Near Prime Alt Doc purchase may reach 85%, while its refinance limit is up to 80%.
How should a broker distinguish the three products?
Prime: eligible consumer-debt consolidation
Prime provides the highest Alt Doc refinance LVR in this comparison, up to 95%, and requires the last two years of financial statements for self-employed Full Doc applicants. Its debt-consolidation scope is eligible consumer debts; tax and business debts are excluded. Business-use cash out is also excluded. These boundaries should be checked early in a scenario review.
Near Prime Clear: a different documentation and purpose profile
Near Prime Clear provides up to $5 million including fees, with Full Doc refinance up to 95% including fees and Alt Doc up to 90%. The self-employed Full Doc pathway uses the last one year of financial statements. Renovation and business-use cash-out purposes can be considered within the applicable conditions. Accepted debt types and debt status need to be confirmed with Credit.
Near Prime: separate limits and clear-credit conditions
Near Prime has a lower maximum loan amount of $2.5 million including fees, Full Doc refinance up to 90% and Alt Doc refinance up to 80%. Clear-credit conditions affect the self-employed financial-statement and Alt Doc business-tenure requirements. The shorter ABN pathway and accountant’s-letter limit should be assessed together; they do not remove the need for credit assessment.
Download the three-product One Page Toolkit
Keep the comparison beside your next scenario. The FINSTREET Debt Consolidation One Page Tool brings Prime, Near Prime Clear and Near Prime together in one A4 landscape page, with the main product limits, income-evidence notes, eight-point scenario checklist and FINSTREET contact details. The PDF includes checkboxes you can tick as you gather the information.
What income documents should a broker prepare?
PAYG applicants
A highlighted PAYG evidence option is the latest payslip plus a letter of employment. Additional evidence is required for casual employment with less than six months of payslip year-to-date history, or variable income such as bonuses, commission and overtime. Confirm the accepted evidence for the borrower’s actual income type.
Self-employed Full Doc applicants
The statement period is product-specific: Prime requires the last two years; Near Prime Clear uses the last one year; Near Prime uses the last one year with clear credit, otherwise two years. Financial statements must meet the registered tax agent or accountant requirements in the product guide. Prior-year financial results, if supplied, must also be considered.
Eligible self-employed Alt Doc applicants
Prepare a declaration of financial position plus one accepted supporting option: six months of business bank statements, six months of BAS, or an accepted accountant’s letter. Prime and Near Prime Clear specify 24 months of ABN registration and 12 months of GST registration. Near Prime’s shorter 12-month ABN / 6-month GST pathway depends on clear credit; otherwise the 24 / 12-month requirements apply. Check the accountant’s-letter limits in the comparison before selecting the evidence pathway.
Compare the total cost, not just the new repayment
A lower repayment alone does not establish that consolidation is a better outcome. Review the new rate, all fees, payout costs, remaining terms and proposed repayment period. Extending shorter debts over a longer mortgage term may increase total interest paid.
Using property as security changes the risk attached to previously unsecured debts. ASIC’s Moneysmart guidance on debt consolidation and refinancing explains why borrowers should compare overall costs and understand the consequences of securing a loan against an asset.
Prepare an eight-point scenario snapshot
- Borrower: profile, employment type and borrowing structure.
- Debts: balances, rates, repayments, terms and proposed payout amounts.
- Proposed loan: total amount, fees and target LVR.
- Security: property value, type and location.
- Existing position: current rate, repayment and remaining loan term.
- Income evidence: Full Doc or Alt Doc records available for the selected product.
- Business and credit: ABN / GST tenure, repayment history and known credit issues.
- Purpose and outcome: any separate cash out and the refinancing benefit being assessed.
Support from scenario review to settlement
FINSTREET works alongside Australian mortgage brokers to clarify the potential product pathway, identify information gaps and coordinate the next step. An initial discussion can help distinguish the headline borrowing request from the evidence needed for a credit assessment.
The broker remains responsible for the client relationship and the suitability of the proposed strategy. FINSTREET provides product information and support through the application process. Individual experiences and timeframes vary.
Frequently asked questions
What are the three FINSTREET Debt Consolidation products?
This guide compares Prime, Near Prime Clear and Near Prime. Each has different loan amounts, LVRs, documentation requirements and eligibility conditions. They should be assessed against the actual borrower, debts and property.
Is $5 million available across all three products?
No. Prime and Near Prime Clear have maximum loan amounts up to $5 million including fees. Near Prime has a maximum of $2.5 million including fees. Security, LVR and credit-assessment limits still apply.
Is 95% LVR available for every debt-consolidation refinance?
No. Prime and Near Prime Clear Full Doc refinance can reach 95% including fees for eligible applications, while Near Prime Full Doc refinance is up to 90%. Alt Doc refinance limits are up to 95% for Prime, 90% for Near Prime Clear and 80% for Near Prime.
Can a self-employed borrower use one year of financial statements?
Near Prime Clear uses the last one year of financial statements. Near Prime allows the last one year with clear credit; otherwise it requires two years. Prime requires two years. Accountant requirements and consideration of prior-year results, if provided, still apply.
How many debts can be included?
There is no set limit on the number of eligible debts. Each liability must fall within the chosen product’s accepted debt types and status rules. Prime excludes tax and business debts. Confirm the debt schedule with Credit before proceeding.
Does consolidation guarantee a lower total borrowing cost?
No. The outcome depends on the rate, fees, loan term and repayment behaviour. Compare the proposed loan with the existing position, including the implications of property security.
What should I send FINSTREET first?
Download the three-product One Page Toolkit and prepare the eight-point scenario snapshot. Send the borrowing request, security, debt schedule, income evidence and any known policy or credit issues to your FINSTREET BDM or Scenario Team.
Discuss your next debt consolidation scenario
Have a client with several debts to review? Bring FINSTREET the proposed borrowing amount, property details, debt position and available income evidence. Our team can help clarify the differences between Prime, Near Prime Clear and Near Prime, and the information needed for the next step.
Important information: General information for mortgage brokers, not personal financial or credit advice. The figures are product limits for eligible scenarios and do not establish approval or suitability. Loan size, LVR, security, fees, income evidence and product availability remain subject to current lender policy, valuation and credit assessment. Confirm the requirements with FINSTREET Credit before submitting. Approval is not guaranteed.
