Pepper Money Home Loans

Pepper Money Home Loans

Scroll Down

Everything you need to know about a Pepper Money Home Loan

Formed in 2000, Pepper Money are a non-bank lender who specialise in providing home loans to those who do not fit the traditional lending criteria. Depending on the consumer’s ability to meet the eligibility criteria, Pepper Money can finance home purchases of up to 95% LVR, making them a good option for anyone struggling to save a large deposit.

Pepper Money have also earned a string of awards including the 2018 ‘Non-Bank of the Year’ from Mortgage Professional Australia and the 2018 ‘Best Non-Bank Lender’ from the Australian Lending Awards.

Key Benefits

  • Cater to those who do not fit traditional lending criteria
  • They specialise in helping those with non-standard incomes including self-employed borrowers
  • They consider borrowers with weak credit history
  • They offer financial hardship assistance including: repayment holidays, redraw of funds, postponement of payments and loan variations
  • They accept family and child support payments as income for their Prime loan product


  • Pepper Money is an online lender which means no branch access
  • They don’t accept guarantors on any home loan products
  • They don’t charge LMI but have a similar ‘Lenders Protection Fee’

Compare Home Loans

Business building ceiling

Pepper Money Home Loan Products Breakdown

Pepper Essential

  • Cash out
  • 100% offset
  • Variable interest rates

A simple home loan for borrowers with a clear credit history

The Pepper Essential loan is designed for borrowers with a clean credit history who are struggling to secure a loan due for another reason. The loan has ‘full doc’ and ‘alt doc’ variations, with the maximum LVR for full doc being 95% of the purchase if the loan is no more than $650,000. For the alt doc loan the maximum LVR is 80% for loans up to $1,000,000.

Pepper Easy

  • Unlimited debt consolidation
  • 100% offset
  • No third party lenders

A balanced home loan for borrowers with no credit default

The Pepper Easy loan product is designed for borrowers who have had credit issues in the past but have had a clean credit history for 2 or more years. Like the Essential loan, the Pepper Easy loan has a ‘full doc’ and ‘alt doc’ variation, with the full doc allowing a maximum LVR of 95% so long as the loan is under $650,000. Both versions are available as ‘interest only’ for the first five years, before reverting to Principal and interest repayments.

Pepper Advantage

  • Unlimited debt consolidation
  • Defaults more than 12 mths
  • Accept borrowers charged from bankruptcy

A home loan no matter what your past is

Whether you need a lender who will accept alternative income verification or your very recent default, this home loan product is for you. You’ll still get a decent interest rate as well as flexibility such as a split loan facility, the ability to consolidate your debts, and a 100% interest offset sub account. Also, you won’t have to worry about LMI approval from a third party. You’ll pay risk fees to Pepper Money instead.


Pepper Money Home Loan Products Comparison


Looking for your perfect match?

At eChoice, we have partnered with over 20 of Australia's leading lenders to help you find the right home loan. Chat with one of our experienced brokers today.

Estimated Refinancing Savings

Potential Lender Options

Competitive Interest Rates

Estimated Borrowing Power

Estimated Monthly Loan Repayments

Compare Home Loans


Frequently Asked Questions

Who Owns Pepper Money?

The majority owner of Pepper Money is owned by global investment firm KKR. Pepper Money also receives funding from Commonwealth Bank, NAB and Westpac.

Are Pepper Home Loans Good?

As a lender, Pepper Money has received awards such as Best Specialist Lender and Best Non-Bank Lender at the 2018 Australian Lending Awards. Pepper Money’s loans have the benefit of offering flexibility in relation to how you pay your loan as well as no service, application or exit fees.

Is Pepper Money A Bank?

Pepper Money is not a bank. Pepper Money is a lender and a global credit provider.

Has Pepper Home Loans Cut Rates?

Following the RBA’s emergency rate cut in mid March 2020, Pepper Money decided to not pass on the rate cut. You can find out more about their decision here.

How Much Deposit Home Loan From Pepper?

Pepper Money allows customer to apply for certain home loans with a loan deposit. The LVR allowed for most loans is up to 85%. Pepper money will also assess your circumstances to determine your eligibility for this loan. Factors, which could come into consideration, include having a stable income, employment and your credit history.

What Is Pepper Home Loans?

Pepper Home Loans is an Australian specialist and wholesale lender that operate globally. They provide home loans and even car loans to customers who want an alternative to the banks.

How do I apply for a home loan with Pepper Money?

First, you’ll need to have a meeting with your lending specialist at Pepper Money. This can be conducted over the phone and you will be asked about your financial position. You’ll be asked for documentation and the specialist will help you decide on a product. Secondly, the lender will process your application and determine your eligibility. If you are successful, the conditional Pre-approval, valuation, final approval and settlement stages will follow. You can access a more detailed version of the loan application process here.

How can I get a pre-approval for a home loan at Pepper Money?

You could get a pre-approval for a loan after contacting Pepper Money and making an application. Getting a pre-approval from Pepper Money take just 48 hours. You will have a greater chance of getting this pre-approval if you are able to provide all the requisite documentation (such as bank statements and payslips).

I have a property in mind, can I apply for a conditional approval with Pepper Money?

All of Pepper Money’s Pre-Approvals are conditional. If you have a property in mind, you can apply for conditional approval. An assessment of your personal finances and a property valuation will need to be conducted by the lender.

Why is my rate higher than I thought it would be with Pepper Money?

Pepper money is a specialist lender and uses ‘risk-based’ pricing. This is because they aim to cater to a wide range of people. Your interest rate will be determined based on your credit history and financial history, or in other words, the risk you pose to the lender. If you’re a high risk customer, you will potentially have a higher interest rate. This is to ensure that you are able to manage your loan adequately.