Former ANZ & Westpac CEO's partner to launch "Bank of Mum and Dad"
Former Westpac CEO Brian Hartzer and ex ANZ New Zealand CEO Jenny Fagg have teamed up to launch a new bank, called 2Be, aimed at Australians 55-75 years young wanting to help their children into the property market.
Described as the “bank of mum and dad”, 2Be allows customers to release equity in their homes with the certainty of a five-year, fixed-rate 2Be Equity Advantage loan.
Unlike other banks, 2Be looks at customers’ assets and credit history rather than income or job status and allows people to access up to $500,000 of their equity.
It notes on its website that banks have made it harder to borrow if you are over 55. “Even if you have over $1 million in equity in your home and other assets, most banks require proof of significant regular income before making a loan,” the company says.
It adds that it can generally give customers a decision on their application within 48 hours.
As a responsible lender, it also recognises that family loans are not without risk emotionally and financially, so it provides free resources to help people navigate and preserve both family relationships and assets.