Continue your simulation with CommBank personal loan eligibility and check the residency, income and credit rules before you apply.
Commonwealth Bank of Australia, usually called CommBank, is the largest bank in the country and offers fixed and variable rate personal loans. Its entry rules are short, but they contain residency and visa details that matter greatly for newer arrivals. This guide explains each condition, the documents required and how affordability is judged.
Short answer: you must be at least 18, be an Australian or New Zealand citizen, an Australian permanent resident or hold an eligible visa, and have an Australian address. You also need regular income and a credit history that shows you manage repayments. Working holiday visas and several study and graduate visas are not accepted for a personal loan.
At the time of writing, both the fixed and the variable loans range from $4,000 to $50,000 over one to seven years. The standard establishment fee is $250, with a monthly loan service fee as well, although the bank sometimes runs promotions that waive the upfront fee for loans funded within a set window. These costs affect your comparison rate.
Your interest rate is personalised. CommBank advertises a range rather than a single figure, and the rate you receive depends on your credit score, income, existing commitments and the purpose and size of the loan. Two people with similar salaries can therefore get different offers, which is why preparing your credit file before you apply can make a measurable difference.
The sections below cover the conditions in plain words, a table of visa situations, the documents to gather, how the bank assesses income and spending, a worked comparison of fixed and variable loans, the usual reasons for refusal and frequent questions. Keep recent bank statements nearby so you can compare your own situation while reading.
The entry conditions
- At least 18 years of age.
- Australian or New Zealand citizen, Australian permanent resident or holder of an eligible visa.
- An Australian residential address.
- Regular income from employment, self-employment or another verifiable source.
- A credit file without recent serious arrears or defaults.
CommBank asks applicants to confirm these points at the start of the online form. If you do not meet one of them, the application will usually stop or be declined, so it is better to check the details first than to discover a problem halfway through. Make sure the name on your identity documents matches your bank records exactly.
Visas: who is in and who is out
| Situation | Generally eligible? | Note |
|---|---|---|
| Australian citizen | Yes | Standard checks apply |
| New Zealand citizen living in Australia | Yes | Australian address needed |
| Permanent resident | Yes | Standard checks apply |
| Working holiday visa (417 or 462) | No | Listed as ineligible |
| Student, graduate or research visas | No | Listed as ineligible |
| Other temporary visas | Depends | Check the current list |
The list of eligible visas can change, and the bank may also consider how long remains on your visa compared with the loan term. If you hold a temporary visa, read the latest eligibility page or speak to the bank before applying. A refusal on visa grounds still leaves an enquiry on your credit file in many cases.
Documents to prepare
- Photo identification such as a driver licence or passport.
- Recent payslips or, for self-employed people, tax returns and notices of assessment.
- Details of other debts, including credit card limits and loan balances.
- A summary of regular living expenses.
- For a specific purchase, such as a car, a quote or contract of sale.
Existing CommBank customers often find the process quicker, because the bank can see salary deposits and spending in their accounts. New customers should expect more document requests. Having everything ready as clear digital copies avoids delays once the application has been submitted.
How income and expenses are judged
Under Australian responsible lending rules, the bank must check that the loan is not unsuitable for you. It compares your income with your expenses and other commitments, often using benchmarks for typical household spending. If your declared expenses look lower than your statements suggest, the bank will usually rely on the higher figure.
Credit card limits are counted as commitments even if you pay the balance in full each month, because you could use the whole limit at any time. Reducing an unused high limit before applying can therefore improve your borrowing capacity. Buy now, pay later accounts and other small loans also appear in the assessment.
Fixed or variable: a worked example
Suppose you borrow $15,000 over five years. The table uses two illustrative rates to show how monthly cost and total interest compare. It ignores the establishment and monthly fees, which apply to both products and should be added when you compare total cost with other lenders.
| Product | Illustrative rate | Monthly payment | Total interest |
|---|---|---|---|
| Fixed rate loan | 9.0% p.a. | $311 | $3,680 |
| Variable rate loan | 9.5% p.a. at start | $315 | $3,900 if unchanged |
The fixed loan gives certainty; the payment cannot rise. The variable loan can become cheaper or more expensive as rates move, and usually offers more flexibility, such as extra repayments and redraw without break costs. If your budget is tight, the predictability of a fixed rate is often worth more than the flexibility.
Common reasons for refusal
- Visa type not accepted or visa expiring before the loan ends.
- Expenses and existing debts leave too little spare income.
- Recent missed payments, arrears or defaults on the credit file.
- Too many recent credit enquiries.
- Income that cannot be verified from documents.
If CommBank declines your application, ask for the main reason and request a copy of your credit report from the bureau it used. Free reports are available in Australia. Waiting a few months while you reduce debts and avoid new applications is usually better than applying with several lenders straight away.
Self-employed applicants
If you work for yourself, CommBank will usually ask for your two most recent tax returns and notices of assessment, and possibly business bank statements. Income that has grown steadily is viewed more favourably than income that swings sharply from year to year. Keep your tax affairs up to date before applying, because missing returns can delay or stop the assessment.
Using the loan for debt consolidation
Many people apply to combine several debts into one payment. The bank may pay some creditors directly and will often ask you to close the cards being paid off. That condition protects you from building new balances on top of the loan. Compare the total cost of the consolidation loan with your current debts before deciding.
Steps before you apply
- Confirm your visa or residency status is on the eligible list.
- Order a free credit report and correct any errors.
- Reduce unused credit card limits.
- List your monthly expenses using real statements.
- Use the online calculator to test amount and term.
Frequently asked questions
Do I need to be a CommBank customer?
No, but customers may find the process faster because the bank already has their account history.
Can two people apply together?
Joint applications are generally possible, and both borrowers are responsible for the full debt.
Is there a fee to repay early?
Variable loans usually allow early repayment without break costs; fixed loans may carry an early repayment fee. Check the current terms.
How long does approval take?
Many applicants receive a decision quickly online, but checks on income or identity can add a day or two before funds arrive.
Conclusion
CommBank personal loan eligibility depends on age, residency or visa status, income and a clean credit file. Check the visa list, prepare your documents and confirm current rates and fees on the CommBank website before you apply.