Self Managed Super Fund (SMSF) Loans

SMSF allows individuals to elect how their superannuation will be invested through a range of assets, including property as opposed to regular superannuation funds manage and invest contributions on behalf of their members to grow their retirement savings over time.

SMSFs are registered with the Australian Taxation Office (ATO). Registration necessitates a trust deed that outlines the fund's operational procedures and the appointment of trustees, who can be either individuals or corporate entities

An SMSF loan allows the SMSF to borrow funds to acquire residential or commercial investment properties.

SMSF loans are evaluated based on the rental income generated by the SMSF's investment, and ensuring the income is sufficient to cover loan repayments.

The structure of the trustee will determine the type of application used in Infynity:

Individual trustees – BID Application

Corporate trustees – Non Bid Application

Create the full client structure in Infynity. Start by creating the borrowing entity (SMSF), then the Trustee (and then if there is a corporate trustee, you need to create the company directors, who would also be the Trustee/SMSF Members).

Here is a quick example of a company as trustee with two directors.

• Create the Trust entity (SMSF) as the primary applicant.

• Create the trustee entity (either a company or individuals) this example is with a company trustee

• Add in the individual as their role as a Trustee/SMSF Member within ApplyOnline

You can also add in the Bare Trust/Security Custodian entity details if available. Depending on the Lender, this entity is a mandatory requirement within ApplyOnline.

• Select the applicable application type.

Non Bid Applications are for loans where the trustee is not a natural person ie company trustee. Complete the application starting with the Loan facility tab.

For Non Bid applications it is recommended that you issue your Credit Guide and complete the preliminary assessment summary form within the Non BID NCCP Tab, this document does NOT need to be signed. The other NCCP documents don’t apply for a company borrower.

Requirements can differ across lenders and loan scenarios - contact your Lender BDM for guidance on the submission structure and process. In general, in the current ApplyOnline interface the basic applicant data entry will require:

- SMSF Trust (Trust type SMSF)

- SMSF Corporate Trustee or Individual Trustees (Applicant role Trustee/SMSF Member)

- SMSF Members (Applicant role Trustee/SMSF Member)

- Security Custodian/Bare Trust (Applicant type Trust, Trust type Security Custodian Trust)

- Security Custodian Corporate Trustee (Applicant role Security Custodian)

Follow the Lender supporting document checklist requirements or reach out too your Lender BDM. Refer to the below list as a starting point.

• Certified copy of the original Trust deed establishing the SMSF and certified copy of all

variation deeds since SMSF was established (if applicable)

• Certified copy of the Security Custodian Trust Deed, and certified copy of all variation deeds since established (if applicable)

• Statutory declaration from all SMSF beneficiaries that the SMSF is a compliant SMSF under the SIS Act requirements

• Evidence of income for SMSF and Members

• Evidence to support loan purpose

• Funds to complete evidence

• Verification that an established SMSF is registered, to be provided via Super Fund Look (https://oxcel.com.au)

• SMSF servicing calculator (refer to Lender requirements)

• Evidence of min liquid asset position (refer to Lender’s policy)

• We strongly recommend that consumers seek advice from an accountant before using any type of trust to borrow money.

• SMSF are complex and there are a range of legal matters involved. Getting the right information will help consumers make an informed decision.

Uploading supporting documents to your client file in Infynity is a compliance requirement regardless of if the loan is BID or Non Bid.

Documents should be named and separated into the appropriate folders within the Loan Documents tab, as per normal process.

Please refer to the recording presented by NextGen on SMSF Loan Structuring, within the Education Tab along with the PowerPoint presentation PDF.

NextGen also provide live training sessions which you can register for via the NextGen website Webinars - NextGen

Disclaimer: This information is current as at the time of each QRG publication. It is a general information guide only. This document was last updated on 15th October 2025