It illustrates, in general terms, how lenders commonly assess income, debts and living costs when estimating borrowing capacity, and compares that to how the same figures may be treated under an alternative structuring approach. It is an illustrative modelling tool for general information only — not a loan quote, pre-approval, or an assessment of your actual borrowing capacity.

Under common credit policy, lenders often shade (discount) variable income types such as bonuses, commissions and overtime to allow for their volatility, since this income is less certain than a base salary. Actual shading rates vary by lender, income type and individual circumstances.

Under standard credit policy, lenders commonly assess a monthly repayment obligation against your full credit card limit, not your outstanding balance, because the full limit is available to be drawn on at any time. This is a widely used industry approach to assessing serviceability.

No. It is an illustrative modelling estimate showing how a different structuring approach may be treated under lending policy. It does not constitute a credit quote, approval, or an assessment of your actual borrowing capacity. Outcomes depend on individual lender policy and your full circumstances — speak with a licensed mortgage professional for an assessment based on your own situation.