Cash & Bonds Best return for SAFE short term money .

Already doing that , but this is for the left over funds .

We have enough to pay off the two remaining loans in our SMSF plus some extra . One has an off set , the other ( amp ) doesn’t and they say we can’t set one up .

Current thinking is to pay the AMP one off , leave enough to keep the other at zero , then park the other as a buffer . The other option is to temporarily park the funds to the pay the AMP one off for few months to consider other options .

Cliff

 

ING
Ubank
Rams

 

I haven't check specifically for super money but robo bank has 1st 4months above 3% in a high interest saving account and covered by the govt scheme on $250K.

 

Assuming you dont have your own loans you could offset against, do you have a family member with a mortgage? Lend them your money for them to deposit into their mortgage (assuming they can redraw later). Then have them pay you 0.5% less than what they pay the bank. I'm not sure how that works from a tax/legal perspective.

 

From a SMSF = Lots of issues if they are related persons.

 

My understanding is that a SMSF cannot loan its funds to a related party.

 

We have another loan in our SMSF which has an offset . After our EOFY discussion with our advisor we’re going to pay off another loan and have the rest in the available offset .

Could have paid the other loan off , but it’s nice to the have the cash there if we ever need a personal cash boost .

Cliff

 

Not sure which offset you're referring to (SMSF or non-SMSF) @See Change but the directive from the ATO is clear ; Related parties and relatives

 

JacM

Thought it’s quite clear which offset i’m referring to in that I said we have a “ another loan in our SMSF which has an offset “ ....

Cliff

 

sorry @See Change I mean to say I didn't know which loan you intended to pay off - SMSF or non-SMSF ("we’re going to pay off another loan")

 

So SMSF cash in the bank account > $250K is not guaranteed if the banks folds over?

 

It would be applied to the debt owing.

 

Within SMSF .

We’re in transition to retirement , so we can access some money if we need .

Cliff

 

We have an amp smsf superedge loan and it has an offset attached. Your sure you can’t get an offset set up cliff.?

We are not paying off the loans more than the p&i repayments. Our intention is to keep the money in offset for redrawing and recontribution to tax free once aged over 60

Also to rebalance our accounts as hubbys is more than mine and who knows what labor would do....

 

We've asked them and they've said no . Not really a major drama though as we've been wanting to decrease debt .

Cliff

 

How does this work if its a straight cash loan?

 

It doesn't!

 

Well thats easy then.
Thanks for the quick reply.

 

refinance the AMP loan to another lender with an offset perhaps?

 

The trouble is all the bloody fees involved!