The platform helping empower the ‘bank of mum and dad’ –


Tim Dean talked with Annie Kane from earlier this year and discussed Credi’s potential to help struggling millennials who turn to their parents for a loan to buy their first property.

The online platform for managing loan agreements between family, friends, and colleagues has seen great success since their launch in April. Credi has grown exponentially in the Australian market and as of this month has reached $31 million dollars of loans on the platform. Tim Dean further mentions how the platform was created after he

CEO Tim Dean further mentions how the platform was created after he experienced the strain of not being repaid and having to constantly chase up family and friends. As such, Credi aims to formalise and manage lending between family and friends by providing loan documentation, negotiation of an agreement, repayment reminders and ongoing loan management.

Dean also highlighted that 1/3 of the loans on the platform are property related, whether it be for a deposit or for a house purchase.

Tim Dean further goes on the discuss the gap between homeowner equity owners and millennials, and how more and more millennials are having to turn to family for financial help. He further mentions how many millennials prefer not to turn to banks due to the high-cost credit and higher interest rates. That’s when young adults look to their family for help, specifically ‘the bank of mum and dad’.

Mr Dean added: “But the problem some parents have is lending their money to their children without guarantees. They might be concerned that their child hasn’t got a job, or they want to protect their wealth for estate planning, or concerned that they might never get that money back for when they need it later in life. That is where we aim to help.”

Read the article in full here!


Credit: Annie Kane





Spending Can Be Saving – How to Avoid Excess Student Debt

student debt

Written for Credi by Sarah Dyce

So no one loves the idea of spending tons of money when it’s not necessary right? But there are some serious benefits to paying off your student loan now to save yourself some money in the future.

Now be honest, I bet I’m not the only one who doesn’t pay a lot of attention to their uni fees. But trust me, it’s something worth looking at.

The first time it caught my attention was when I booked my flights for a holiday. I had been saving for months and was so excited to get away! But just as I was about to finalise my tickets the payment choices included a loan option (strange I know) rather than paying by credit card. I thought about it for a moment, thinking that one loan was more than enough for me – I didn’t want to live in debt! In the days following, I started to think about the debt that I already had, and my student loan came back into focus for me for the first time in a long time. I’m sure I’m not the only one who has dismissed that as being ‘taken care of’ and something that ‘I’ll deal with when I graduate.’ Well I wish that I had paid closer attention because I could have saved myself a lot of stress and money.

Student loans, there are plenty of options depending on what uni you go to and what degree you study, but at 17 I was not considering the consequences when I applied to put my degree on FEE-HELP. It just wasn’t something that overly concerned me and I followed along with the consensus with my peers; as long as I didn’t have to pay upfront I would just deal with it later. I never expected that booking flights would be the catalyst to enlighten me of my mistake.

What is FEE-HELP and the other important things people forget about

FEE-HELP is essentially a ‘student loan option for those paying full fees, often those at a private institution or studying postgraduate courses’. But what often gets overlooked or forgotten is that students studying undergraduate courses at approved providers incur a 25% fee onto their loan.

Don’t get me wrong; I think offering students a way to gain an education while not having to pay upfront or in full is amazing – it opens the doors to so many people and allows them access to a higher education they otherwise would not have been able to afford. But, like me I’m sure, plenty of these students aren’t aware how high the inflation is on their fees as each quarter passes.

Did you know that each year on June 1st your overall debt is taxed and adjusted for inflation? Although this percentage has decreased since previous years, it’s still adding on an additional 1.5%*, which may seem insignificant, but when you look at the long-term implications of much this will cost you, you may want to pay closer attention. 

Meet Alex

To make things a bit clearer, let’s put that in context, here we have Alex.

Alex is studying a Bachelor of Commerce at a public university and is expected to graduate with about $35,000 of debt. Each semester Alex has the option to repay some of her loans or keep putting it onto FEE-HELP. Given the degree she is studying, Alex has about $5000 per semester in unit fees.

This $5000 a semester once indexed at 1.5% becomes $5,075 (an additional $75). This $5,075 then gets joined by next semesters $5000 ($10,150 in total) which then gets indexed again at 1.5% and so on and so forth etc. and all that.

So by the end of one year of study, Alex went from an expected $10,000 for unit fees to $10,150.

$150 to access tertiary education for a year is a fairly good deal, but it’s what happens next that can catch a lot of people out.

Remember Alex? She decides to switch universities and is now studying at a private provider where her debt will be subject to a 25% fee before it gets to the point of indexation. Alex now pays $12,500 in total for the year, instead of just $10,00 for the unit fees. What this means come time for indexation is that Alex will pay 1.5% of $12,500 not 1.5% of $10,000. Not only will Alex pay more to defer her fees, she pays more each year as the debt is indexed.

Obviously more factors would play into this in real life, not all units cost the same, sometimes scholarships are available, etc. But this is just the money needed for unit fees using the FEE-HELP system; this number doesn’t cover any textbooks, university administration costs, travel costs, cost of living and plenty of other expenses that university students fork out each semester.

Taking a Closer Look

All of this information altered the way I approached university. It made me much more aware of the implications that some of these government schemes entail. If you’re like me and would prefer not to fork out the hypothetical $2500 extra a year, then the next few things should be helpful to you.

  • Be proactive
    • It is never too late to look at your fees and your repayment options, 1st, 2nd, 3rd year? Doesn’t matter! Take a closer look at your FEE-HELP account to see if there is anything you could be doing to save yourself some money in the future.
  • Research
    • Yes, not the most fun in the world but researching your alternative to a government loan can be constructive if you want to prevent unnecessary fees in the future. There are plenty of websites and non-profit organisations both online and in person where you can go and discuss the options that best suit you and your needs.
  • There are plenty of other options
    • FEE-HElP is just one of the options available to assist with university fees, there are various other options depending on your degree and needs, some of these include;
      • Banks
      • Personal loans
      • Scholarships
      • Company grants
      • Mum & Dad
    • Keep an eye on the news
      • Watch out to see if there are any developments in policy changes relating to student loans
      • The government previously had a matching scheme where they would contribute you your debt if you made a voluntary repayment
      • Sadly this was removed at the beginning of 2017, but with the state of Australian government whose to say something else won’t pop up?

The Bank of Mum & Dad

After I had looked at all my options, I found the best way forward for me personally, was to take out a loan from Mum and Dad. A lot of the websites I looked at were talking about how my future employer would take a chunk of my pay and put it towards repaying my debt, which got me thinking, why can’t I do that with my parents?

A long discussion later, I organised with my parents an alternative way to cover my uni fees rather than FEE-HELP. Similar to the future employer scheme, my parents would pay my units in full (with the aim to avoid any excess debt), and in turn, I would contribute a percentage of my weekly pay to repaying them.

By organising my method of payment for uni, while yes, it does mean that for now, I have less money to add to my savings. By the time I graduate, and *fingers crossed* enter the workforce with a real job, all of that paycheck will be coming to me, not to the government.

There are some amazing websites and people out there who can help you find an alternative to FEE-HELP, one of those gems is ‘Credi.

Credi is an online platform ‘powering the bank of Mum & Dad’ as they say, which in its essence is simplifying lending between family and friends by assisting in building a loan, negotiations, contract, and repayment method. All taken care of for you! The best part; it’s FREE!  That’s right, you heard me, FREE! No need to pay any accountants or lawyers, no having the fact your parents pay for uni thrown in your face every argument, all taken care of in a nice little package for you.

Learning From My Mistake

This is the stuff I wish I had of known when I first started uni, not now I’m already in debt, but please learn from my mistakes!It’s always worth discussing with a financial adviser to ensuring you are maximising your dollar not delving further into debt than necessary. Don’t just brush it off for future you to deal with, I’ve been that person and trust me I am not happy with my past self for it!

It’s always worth discussing with a financial adviser to ensuring you are maximising your dollar not delving further into debt than necessary. Don’t just brush it off for future you to deal with, I’ve been that person and trust me I am not happy with my past self for it!

For more information on student loans, check with your institution about payment options to see what it is available for you. Discuss it with Mum & Dad and don’t’ forget organisations like Credi are there to lend a hand if things get confusing!

Happy saving everyone!


Written for Credi Pty Ltd by Sarah Dyce


Credi Loan Agreement and Repayment Management


Credi’s #WhatTheLoan – Support their growing family

We all lend to family and friends in need. #WhatTheLoan is back again. Recently we had a parent lend to their adult child who needed a loan to support their growing family. Do you have any loan stories to share?

Empowering The Bank of Mum and Dad


Family loan repayment template


5 Steps To Asking Your Parents For a Loan

asking your parents

Written for Credi by Raffaella De Pasquale-Gentelli


We all know asking your parents for anything let alone a considerable amount of money can be daunting. What if they say no? What if they want me to pay it back with interest? This is why I’ve come up with five fool-proof steps to guarantee success in your mission for money. Stick with me and you’ll be bathing in hundred dollar bills before you know it. Not really. But we wish. Let’s Begin!

NUMBER ONE: Do your research

I don’t know about you, but whenever I’ve wanted something from my parents, I’ve always had better luck in getting what I’ve wanted if I put the effort into finding out information beforehand. It’s essential to know what it is you want, to shop around and find the best prices, be able to answer any questions they may have regarding the loan and most importantly know if they are in the position themselves to be able to help you. I adore making lists, as you can probably already see, so for me gathering information in list formation is a no-brainer.


You don’t want to spring something as big as a loan for a substantial amount of money on your parents out of nowhere. Parents should get more credit for picking up on hints, whenever you think they aren’t listening, I promise you they are. Say you’re unable to afford next semesters university tuition, casually bring up in conversation how difficult it has been for you to get the money to pay for your education and how hard you’ve been working. Don’t bring it up all the time or it might just work against you.

NUMBER THREE: Get in their good books (and stay there)

This step is usually the easiest. How hard could it be to compliment your parents, right? It’s more difficult than it sounds, you want to be subtle but not too subtle so they think you want something. In this case, actions speak louder than words. Help with cooking dinner, clean around the house, laugh at your dad’s “dad jokes”, make your mum tea after dinner. Small things like this go a long way in their mind! However a small word of advice, one I learnt from my own parents, it takes 100 things to build a reputation and only 1 to ruin it all. So make sure once you’re in their good books, you try your hardest to stay there.

NUMBER FOUR: Ask for a Loan

The most intimidating and scariest part of the whole process. Asking for a loan. Confidence and preparation are key in this step. Making sure you pick the right time to be asking if you can see they are stressed or upset about something else, hold off until you feel they are in the right head space. Sit them down somewhere quietly so there are no distractions. Have your research ready and state your case and hope for the best. Whatever the outcome, your parents will always have your best interest at heart.

NUMBER FIVE: Determine the specifics

Congratulations, you got your loan!! Now you need to determine the specifics with your parents. Do I need to pay them back within a certain amount of time? How much do I pay back and is it per week or per fortnight? Do I need to pay interest? All tedious but important factors when asking or applying for a loan. It’s essential these boundaries are determined before any money is loaned to avoid any future confusion. This is where Credi comes in, the perfect tool to ensure all loans are managed correctly, and the best part.. all loans under $10,000,000 are free!!!

And there you have it, 5 simple steps to loan success. I wish you the best of luck and let me know your own tips and tricks that have worked for you, or check this link out for more!


Written for Credi by Raffaella De Pasquale-Gentelli



3 Easy Steps to Lend Money the Smart Way

lend money highlights 3 easy steps to help you lend money safely to your family and friends.

If a friend or family member is ever in need most of us are more than happy to lend a helping hand even if it involves financial support. However, for those friends or family members that can’t get a personal loan from a commercial lender, most likely due to damaged credit or no credit, proves to be a risk for you, as the lender. So if you do choose to lend to them it’s always a good idea to protect yourself and your relationship, because we all know that sometimes things turn sour.

Lend the Smart Way highlights 3 steps, the first being:

  1. Set a Fair Interest Rate

Setting an interest rate, one that is competitive with one from a commercial lender can work in both yours and the borrower’s favour. An interest rate provides you with interest similar to what you may get if you were to put it into a savings account. It also offers you security, for if the borrower agrees to pay the interest this may prove they genuinely need the money.

  1. Get Your Agreement in Writing

When lending to family and friends always recommends writing out your agreement. If you’re uncomfortable with this be assured you’ll be even more uncomfortable with having to remind them and even of chase up the repayments. Again if they’re in serious need of financial support writing down some details and signing a document will prove they’re genuine about the loan. Be sure to spell out the terms, such as how much is borrowed, the time period, interest rate and repayment details.

Be sure to check out who will help organise all these details for you and create a loan agreement as well. Plus you’ll be able to manage it on the platform once it’s agreed to and eSigned.


  1. Set up a Formal Payment Arrangement

Let’s face it, it’ll be easier for the borrower to make a late payment or even miss a payment to you than to a commercial lender. Be sure to include details of payments due dates, fees and how payments will be made (bank transfer, cash etc.). With Credi, you will be notified of upcoming repayments and the borrower will also receive reminders of late payments. The platform also allows you to label each repayment as cleared, forgiven, overdue or paid. This helps both parties track repayments, in turn helping to prevent disagreements on the when payments were made and the remaining amount owed.

Lending money to friends and family members who can’t get a loan from a traditional lender always has its risks. However, if the right precautions and steps are taken you can avoid hurting feelings and ruining relationships. Always be clear when writing up the agreement and voice your expectations.

Be sure to open your free account with Credi and create your loan made with family or friends. Our platform will take away the stress and worry of lending informally. Credi helps structure a loan agreement, put it in writing, and manage & track the loan from start to finish.


Credit: Gerri Detweller






Parents as Piggy Banks (Oink Oink!)


Written for Credi by Laura Watson

The Bank of Mum and Dad

It’s an unforgettable feeling when you realise you have found your perfect first home. However, it’s an even more yet somewhat distressing unforgettable feeling when you realise that you can’t afford it. Luckily for you and many other first-home buyers, there is a solution to this financial problem: the Bank of Mum and Dad.

The Bank of Mum and Dad is an idiom coined to describe the increasingly popular arrangement where first-home buyers rely on their parents to help them enter the property market. To help you out, I have provided fours ways that the Bank of Mum and Dad can assist you in achieving your great ‘Australian dream’.

Acting as a guarantor

One of the ways that the Bank of Mum and Dad can give you a leg up on the property ladder is to act as guarantor on your mortgage. This means that your parent’s income is taken into account when agreeing on a mortgage deal, thus potentially allowing you to borrow more. As a guarantor, your parents must agree to cover your mortgage payments if you are unable or unwilling to do so. They will only be able to do this if they have a sufficient amount of equity in their own property.

It’s important to know that this strategy should be used with caution. This is because once your parents sign their name as a guarantor, they become legally responsible for paying back the entire mortgage if you fail to make the repayments. Additionally, they will also have to pay for any fees, charges and interests that you accrue. Therefore, if your parents do choose to act as a guarantor, make sure they know exactly what they are getting into before proceeding and you have easy access to legal assistance in case it is needed.

Joint mortgage

Another avenue that you and your parents can undertake is a joint mortgage. This is a great option if you are unable to purchase the entire property on your own and your parents aren’t keen on being a guarantor. This is because by signing the mortgage application together, you and your parents are both agreeing to be equally liable for the mortgage repayments. Therefore, if you opt for this method, be sure to organise with your folks on how repayments and maintenance will be managed, as well, what the exit plan will be should one party wish to sell.

Gifting land

A common approach is for parents to gift land to their children, whether it be in the form of an existing property or a portion of sub-divided land. If you are considering this approach, it’s highly recommended that your parents first seek advice on the tax implications and do research as gifting land and/or property is a ‘capital gains event’. This means your parents cannot hand it over for nothing, but instead will have to pay capital gains on the market value of the property.

Lending money

Another way to effectively draw from the Bank of Mum and Dad is to ask them to lend the deposit to you on a commercial basis. Alternatively, your parents may have equity secured in their home and thus by creating a line of credit facility they can on-lend the deposit to you for your first property. In either case, remember to have a formal loan agreement drawn up between you and your parents as well, register with the proper authorities.

While this is arguably the most popular way of parents helping their children secure their first home, where the terms of the loan are not discussed properly, it can result in a breakdown in relationships. Therefore, I recommend having a look at Credi, a web app that helps manage your loan information, track prepayments and record updates. Thus, if there’s ever disagreement over the conditions of the loan, the agreement is readily available to the both of you.

It’s now up to you

It is clear that regardless of how wealthy our parents are or are not, we millennials are increasingly turning to our parents for financial support when trying to purchase our first home. While it’s not exactly a straightforward decision to make, I hope that with the information I have provided, you are now one step closer to determining which approach is most suitable for you and your parents.

Written for Credi Pty Ltd by Laura Watson



Credi’s new records in September 2017

new records in September 2017

Credi the relationship lending platform powering “the Bank of Mum and Dad” has set new records in September 2017. The platform has seen an increase in users and is now expanding internationally.

This September 2017 saw $31, 373, 502 million loans formalised and managed on the platform. With $10,053,386 million of these being active/live on our platform – seeing a 4.9% increase from last month.

The platform reached 1454 users on the platform. Overall seeing a 17.4% increase from last months user statistics.

Keep an eye out for more to come and next months statistics.


Family loan repayment template




DailyFintech Announces – Credi Starts Exporting to the World

Daily Fintech

Daily last week announced Credi’s roll out to the world. Along with another lending platform, Daily Fintech shared both companies goal to launch in New Zealand this coming month.

The fintech news publication shared with its followers the unique idea behind Credi. Not lending money directly, however, formalising and managing loan agreements between family and friends.

DailyFintech goes on to highlight Credi’s goal at the very start to understand the market dynamics by commissioning a report by RMIT University in Melbourne. The results were interesting, to say the least, and has helped Credi find it’s niche. In turn, helping their platform manage $32 million of loans to this day.

The article then summarises Credi’s niche in helping formalise and manage inter-generational wealth transfers and family/relationship lending.

Read the article in full by clicking below

Credit: Jessica Ellerm




Credi’s #WhatTheLoan – Money When Away on Holiday

One Credi user has helped out a friend by lending them money when they were on holiday. #WhatTheLoan What have you lent or borrowed money for?







Australia’s Bank of Mum and Dad Now 5th Biggest Lender

Australian financial advisor platform, Mozo, has found young first home buyers turning to their parents for help, resulted in the ‘bank of mum and dad’ becoming Australia’s 5th biggest lender.

With property prices increasing and income growth lagging behind, millennials are finding it harder and harder to get onto the property ladder. Mozo’s Kirsty Lamont highlights that this issue has led to the rise of parents lending to their children, whether it be for a deposit or home loan repayments.

This can be seen through Moz’s research, showing that in 1986, the average price of a property was $76,278, which was the equivalent of 4.4 times the average income of $17,321 per year. In 2016, the average house price rose to $547,714, which was 6.9 times the average annual income of $78,832.

Mozo further highlights that ‘the bank of mum and dad’ in Australia has lent $65.3 billion to young home buyers annually. With 29% of parents in Australia assisting their children in purchasing a property. Overall 67% of those parents that do lend to their children don’t expect to be repaid.

Mozo then highlights through analytics the contribution family lending has on the market.

Read the article in full by clicking the link below.

Credit: Kelly Emmerton