Income Continuity Evidence in Lending Assessment


Canonical question

What evidence do lenders use to assess whether income will continue, and which signals cause income to be treated as temporary or conditional?

Jurisdiction: Australia

Domain: Credit assessment — continuity risk

Applies to: All income types where future continuation is uncertain or time-bound


Decision definition


Income can be genuine and current yet still excluded if lenders believe it may not continue. Continuity assessment tests whether income is:

  • expected to continue
  • contractually supported
  • structurally reliable
  • aligned with the borrower’s future plans and timing

Continuity is evaluated separately from:

  • income amount
  • income legality
  • past history


How lenders assess continuity


Continuity evidence commonly includes:

  • employment status and contract terms
  • probation completion timing
  • contract expiry and renewal likelihood
  • industry stability and role demand
  • documented plans affecting income (leave, relocation, business transition)

For self-employed income:

  • continuity is inferred from consistent trading and sustainable profit patterns

For rental income:

  • continuity relies on lease evidence and vacancy history risk


Common continuity failure points


Income is often treated as conditional or temporary where:

  • contract ends soon
  • probation not satisfied and policy is strict
  • recent business income relies on one customer/project
  • variable income is new or irregular
  • foreign income depends on time-limited offshore placement
  • income depends on arrangements that may change (e.g., trust distributions without stable pattern)


Related income recognition questions


  • Income history requirements
  • PAYG income stability
  • Probation, contract, and casual income policy
  • Unstable income decline conditions
  • Foreign and expatriate income treatment


Structured borrower mapping

Applying this assessment logic

Continuity depends on timing, contract terms, and future plans — not just income level.

Structur helps you map the time dimension so you can see how continuity may be assessed before seeking credit assistance.

→ Map your situation in Structur

Canonical status: Foundational reference

Role in lending assessment: Determines whether income is treated as continuing or conditional

Next canonical question: Probation, contract, and casual income policy


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