Frequently Asked Questions
What is a family guarantee, and when should I use it?
Struggling to save up enough of a deposit to buy your first home or first investment property? Then our Family Guarantee could be just the thing to get you into a place you can call your own. Our Family Guarantee enables first home buyers with limited savings to enter the property market sooner*.
Here's how it works – If your parents or other family members have equity in their home, investment property or have a Term Deposit with Credit Union SA, you can use that equity or investment to guarantee a portion of your loan.
Which family members can provide a Family Guarantee?
- Parents
- Parents-in-law
- Step-parents
Credit Union SA will consider the provision of guarantees by other immediate family members where a guarantee from the above-mentioned family members would not be appropriate.
When can a Family Guarantee be used?
Guarantees from family members can only be provided to assist first home buyers/investors to:
- purchase a new property;
- purchase an established property;
- build a new home.
Where a borrower is entitled to a government grant, the entitlement will not be affected by the provision of a Family Guarantee. Family Guarantees will not usually be accepted by the Credit Union where offered to support borrowings for a second/subsequent property or for any other purpose.
To find out more about leveraging the equity in Mum and Dad's home so you can get into yours, have an obligation-free chat with one of our experienced staff, Mobile Managers or download our guide.
Download our Family Guarantee Guide*Subject to responsible lending criteria.