Product information

An ANZ DCL provides an alternative property financing option in the same denomination as your primary source of income.

It can be used to purchase, construct or refinance for residential or investment property^#.

A DCL allows you to match the income currency with the currency of the loan as well as at potentially lower interest rates.

Qualifying criteria

To qualify for an ANZ Dual Currency Loan (DCL) the following criteria must be met

• Net assets equivalent to USD 3 million
• Client suitability risk profile met
• Available to non residents of Australia
• Applicable for properties in Australia only.

Key benefits

• Ability to borrow in your income currency and/or property currency with the flexibility to switch between^#
• Interest rate savings may apply compared to domestic Australian rates
• Mobility- the facilities are designed to follow the borrower globally^#
• No on-going/annual/administration fees
• No charge for early prepayment or redemption of loans on interest repayment dates
• Investment loans may be deductible for tax purposes in Australia however independent tax advice should be sought.

Features

Acceptable security

• Standard Residential Property⁺
• ANZ cash or term deposits pledged as security
• Other security is subject to credit approval.

Key risks

Exchange rate risk

• Foreign currency fluctuations resulting in a capital loss by way of an increase in the principal amount (on conversion upon default) or interest payment may outweigh benefits of the loan.

Clawback process

• Margin Call - if loan value ratio (LVR) increases by 5 percentage points (5%) above the approved LVR, then customer must reduce LVR back to approved level by either paying down the loan or adding further security
• Close Out - if loan value ratio (LVR) increases by 10 percentage points (10%) above the approved LVR, then the loan is converted to the property currency which may result in a capital loss. Upon conversion to property currency, the principal will need to be reduced or security increased to reduce the LVR back to the original approved limit. Quantum, frequency, and the timing of security valuation are at the Bank’s discretion.

Contact an ANZ Private Banker if you have an enquiry or to make an appointment.

^* ANZ will lend to the lower of the purchase price or ANZ valuation.
^# Important Conditions apply.
⁺ Standard Residential Property is defined as homes, apartments or rural property up to 10 hectares (<25 acres) in size and does not include serviced apartments, student accommodation and small apartments (< 50m²) in size.

You need Adobe Reader to view PDF files. You can download Adobe Reader free of charge.