What is a home loan cashback offer
A home loan cashback is a payment made by a lender to a borrower after settlement of a new or refinanced home loan. Banks use cashbacks as incentives to attract borrowers to their products, and the offers apply to both purchase and refinance loans.
Cashbacks can take different forms. Most are cash payments deposited directly into your account, though some lenders offer rewards points, fee waivers, or gift vouchers instead. As at August 2026, some lenders were offering cashbacks of up to $4,000.
The amount you receive usually depends on your loan size, your loan-to-value ratio, and which lender you choose. Each offer has its own eligibility criteria, and most require you to settle within a set timeframe, typically between 90 and 120 days.
How cashback offers apply during divorce or separation
When a jointly held home loan is refinanced into one party's name following a property settlement, cashback offers may apply if the continuing party moves to a different lender.
Cashback offers typically require the loan to be refinanced from another financial institution, not restructured within the same bank. If you keep the existing loan and simply remove the other borrower, this is an internal variation rather than a refinance and would not trigger a cashback. However, if you refinance the joint loan to a new lender, the standard cashback eligibility criteria apply.
In our experience, separating couples who need to refinance often focus entirely on getting the loan approved and forget to check whether they qualify for a cashback. Consider a scenario where someone is taking over a $500,000 loan at 70% LVR and moving from their existing lender to BOQ. If they meet the settlement timeframe, they would qualify for a $2,000 cashback simply by making a choice they were going to make anyway.
The key distinction is whether you are moving to a new lender or staying with your current one. If you are moving lenders, ask about cashback eligibility before you submit your application.
Refinance cashback offers available in August 2026
Several lenders were offering cashbacks to eligible borrowers refinancing in August 2026.
BOQ was offering a $2,000 cashback for refinances with a minimum loan amount of $400,000, maximum 80% LVR, and settlement within 120 days of application. IMB Bank had a tiered cashback offer of up to $4,000 based on loan size, with a maximum 80% LVR requirement.
ME Bank was offering a $3,000 cashback on refinances of $700,000 or more at a maximum 80% LVR, for applications lodged between 1 May 2026 and 28 August 2026. Greater Bank, Newcastle Permanent, and Reduce Home Loans each had cashback offers of up to $3,000. Tiimely was offering up to $3,000 on fixed-rate loans.
ANZ also had a $3,000 first home buyer cashback for eligible loans of $250,000 or more, though this was limited to first home buyers rather than refinancers.
Each offer has its own terms and conditions. Some lenders limit cashback payments to one per customer per 12-month period, so if you have refinanced recently, you may not be eligible again yet. Settlement timeframes vary, and missing the deadline typically means forfeiting the cashback.
If you are refinancing during separation and want to confirm whether you qualify for a cashback offer, we can walk you through the current options and help you compare the total cost of each loan.
Find out which cashback offers apply to your situation.
ME Bank LMI cashback offer
ME Bank also had a $2,000 cashback offer for borrowers who require Lenders Mortgage Insurance, available for eligible applications from 18 August 2026.
To qualify, you need a minimum of $400,000 in total new lending, an LVR between 80.01% and 95%, settlement within 120 days of application, and a SpendME transaction account. One cashback per customer applies.
This offer is relevant if you are purchasing a new property with a smaller deposit following a property settlement, which results in an LVR above 80%. Many people in this situation assume they will pay LMI and do not realise they can also access a cashback to offset some of the upfront costs.
For example, someone buying a unit with a 10% deposit and borrowing $450,000 would meet the loan size and LVR requirements. If they settle within the required timeframe and open the transaction account, the $2,000 cashback would be paid after settlement. That amount could cover part of the conveyancing or moving costs.
LMI waivers
The materials reviewed for August 2026 did not identify any LMI waiver policies that apply specifically to people going through divorce or separation. Standard LMI applies for loans above 80% LVR.
However, if you hold a professional qualification that is eligible for a profession-specific LMI waiver, such as those available to medical practitioners, legal professionals, or emergency services personnel at various lenders, that waiver may apply regardless of your personal circumstances.
If you work in one of these fields, it is worth confirming whether your lender offers a waiver before accepting a loan that includes LMI.
Common eligibility requirements for cashback offers
Most cashback offers share similar eligibility criteria. Minimum loan amounts typically range from $250,000 to $700,000, depending on the lender. Maximum LVR requirements are usually set at 80%, though some offers extend to 95% LVR.
Settlement timeframes are strict. If you do not settle within the specified period, usually 90 to 120 days, the cashback offer lapses. Some lenders also restrict cashbacks to external refinances only, meaning you cannot access the offer if you are moving products within the same bank.
Most lenders limit cashback payments to one per customer per 12-month period. If you have already claimed a cashback from the same lender within the past year, you may not be eligible again.
Cashbacks are paid into a nominated transaction account after settlement, typically within 60 days. The process is usually automated once the lender confirms you meet the eligibility criteria.
Costs associated with refinancing
Refinancing during separation often makes financial sense, but it is important to account for the costs involved.
If you are breaking a fixed-rate loan, you may incur break fees. These can be substantial, particularly if rates have fallen since you locked in your fixed term. Discharge fees apply when you close your existing loan, and these vary by lender but typically range from a few hundred dollars to over $1,000.
Application or settlement fees may also apply with your new lender, though some lenders waive these as part of a refinance package.
Cashback offers can offset some of these costs, but they should not be the only factor in your decision. A slightly lower interest rate over the life of the loan can save far more than a one-off cashback payment. Over a 30-year loan, even a 0.25% difference in the interest rate can amount to tens of thousands of dollars in additional interest.
Review the product documentation carefully before committing, and ask your broker to provide a comparison that includes both the upfront costs and the long-term interest impact.
How cashback payments are typically made
Cashbacks are generally paid within 60 days of settlement into a nominated transaction account. Some lenders require you to hold a specific type of account with them, while others allow you to nominate any account you choose.
Eligibility assessment is typically automated. Once your loan settles and the lender confirms you meet the criteria, the payment is processed without requiring further action from you.
If the cashback does not appear within the expected timeframe, contact your lender or broker to follow up. Occasionally, administrative delays occur, particularly if there was any variation to the loan terms between application and settlement.
One thing to confirm before settlement is whether the cashback is conditional on you maintaining the loan for a minimum period. Some lenders include clawback clauses that require you to repay the cashback if you refinance again within 12 or 24 months. If your circumstances are likely to change again soon, factor this into your decision.
If you are refinancing to buy out your partner or purchasing a new property after separation, confirming your eligibility for a cashback offer is a straightforward step that can put several thousand dollars back in your account when you need it most. Call one of our team or book an appointment at a time that works for you.
Frequently Asked Questions
Do cashback offers apply when refinancing during divorce or separation?
Yes, if you refinance a jointly held loan to a new lender in your name alone, standard cashback eligibility criteria apply. Internal loan variations within the same bank do not typically qualify.
Which lenders were offering cashbacks in August 2026?
BOQ, IMB Bank, ME Bank, Greater Bank, Newcastle Permanent, Reduce Home Loans, and Tiimely were all offering cashbacks ranging from $2,000 to $4,000 for eligible refinances. Each has its own eligibility criteria and settlement timeframes.
Can I get a cashback if my loan is above 80% LVR?
Yes, ME Bank was offering a $2,000 cashback for loans between 80.01% and 95% LVR with a minimum loan amount of $400,000, available from 18 August 2026. You also need to hold a SpendME transaction account and settle within 120 days.
How long does it take to receive a cashback payment?
Cashbacks are generally paid within 60 days of settlement into a nominated transaction account. The process is usually automated once the lender confirms you meet the eligibility criteria.
Are there any costs I need to consider when refinancing for a cashback?
Yes, refinancing may involve break fees on fixed-rate loans, discharge fees, and application or settlement fees. A cashback can offset some of these costs, but you should also compare interest rates, as a lower rate can save more over the life of the loan.
