Standard BT Margin Loan - details

For more detailed information download the BT Facility Document (PDF 580KB)

Who can borrow?
  • Individuals (can be joint borrowers)
  • Companies, Partnerships and Trusts
Loan approvals
  • Approvals within 24 business hours (company and trust applications may take longer).
  • No application or establishment fees for individual borrowers.
Loan term
  • No fixed loan term.
Repayments
  • No repayments are required on a margin loan as long as the loan amount remains within borrowing limits (LVR) of the portfolio.
  • We hold the investments as security. When you sell an investment, the loan amount of that investment is paid down automatically and the remaining funds are made available to the borrower.
Acceptable securities
  • Cash, Australian shares, managed funds and selected instalment warrants.
  • Securities can be held in either the borrower’s name or in the name of a third party.
Lending ratios
  • Lending ratios are generally between 35% and 75% of the value of the portfolio.
Minimum Loan
  • Minimum standard BT Margin Loan is $20,000. There are no minimum loan advances or additional equity contributions.
  • Regular gearing (combining a regular monthly investment plan with a margin lending facility):
    • minimum loan of $2,500;
    • minimum initial investment of $1,000 per managed fund;
    • minimum monthly loan advance of $250;
    • minimum monthly investment of $250 per managed fund.
Interest rates
  • Variable interest is calculated on either the greater of the daily loan balance or $20,000 and charged to the loan account on the last business day of the month.
  • Prepaid interest is paid in advance for a term of either 3, 6, 9 or 12 months. The minimum loan amount for prepaid interest is $20,000. Prepaid interest is not refundable if the loan is repaid before the end of the relevant term.
  • Interest can be paid by direct debit, BPAY, or from available funds.
Flexibility
  • Use the stockbroker of your choice.
  • Change/switch holdings within your portfolio at any time.
  • No limit to the number of times you can transact.
Tools to manage your loan
  • Monitor and transact on your loan account securely online 24 hours a day, 7 days a week.
  • Simulate transactions and prepayments, and determine how much equity you need using the online calculators.
  • Dedicated Customer Relations Consultants available Monday-Friday 8.30am to 5.30pm AEST on 1800 816 222.

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