Bank of Melbourne vs Macquarie Bank: which home loan suits you?
Last reviewed
Bank of Melbourne and Macquarie Bank can both be strong broker-channel options, but they stand out for different reasons. Bank of Melbourne has a useful niche for eligible borrowers starting a new job: it may assess a pre-approval using an accepted employment contract, with approval subject to receiving the first payslip. Macquarie is better known for fast, broker-led assessment and a streamlined product range. The right choice depends on your employment timing, full application and the lender's current policy.
| Attribute | Bank of Melbourne | Macquarie Bank |
|---|---|---|
| Employment-contract niche | May consider an eligible pre-approval using an accepted employment contract, with approval subject to receiving the first payslip and satisfying current credit criteria. | Employment evidence is assessed under Macquarie's current policy; do not assume an unsigned or not-yet-commenced role will be accepted without confirmation. |
| Rate positioning | Variable and fixed pricing under the Westpac group can differ from the flagship Westpac brand and changes by purpose, LVR and promotion. | Broker-distributed pricing is often competitive for straightforward owner-occupier and investor lending. |
| Offset & redraw | Offset available on eligible packaged variable loans; redraw is generally available subject to product terms. | Offset and redraw are available on eligible variable products, with a comparatively streamlined account structure. |
| Fees | Basic and packaged options have different establishment, ongoing and package fees. | Generally positioned with a simple fee structure, though product and transaction fees still need to be checked. |
| Turnaround / service | Broker-channel assessment with a Victorian-focused brand and access to the broader Westpac group infrastructure. | Broker-led service with a reputation for efficient assessment on clean, fully documented applications. |
| Assessment style | Useful policy nuances can make it worth checking separately from Westpac, particularly when future employment income is relevant. | Strong fit for straightforward full-doc files and investors; policy fit should be confirmed before lodgement. |
| Best suited to | Eligible borrowers with a signed new-employment contract who need a pre-approval before their first payslip arrives. | Borrowers prioritising a streamlined application, competitive live pricing and efficient broker-channel service. |
The employment-contract policy that can unlock a pre-approval
For an eligible borrower who has secured a new role but has not yet received a payslip, Bank of Melbourne may be able to assess a pre-approval from an accepted employment contract. The approval can be made subject to the first payslip being received before the loan proceeds. This can be valuable when the borrower needs confidence to make an offer while changing jobs.
This is not automatic approval. The contract, commencement date, role, income, probation terms, employment history, loan-to-value ratio and the rest of the application can all affect the outcome. Bank of Melbourne's public application checklist identifies a recent employment contract as an accepted form of income evidence, but an XLOANS broker should confirm the current broker policy and any conditions before lodgement.
How a broker can make the policy useful
- Check the signed contract and commencement date against Bank of Melbourne's current policy before a credit enquiry is submitted.
- Confirm whether probation, a career change, a gap between roles or variable remuneration changes the assessment.
- Structure the application so the first-payslip condition and expected timing are clear before finance or settlement deadlines.
- Compare the result with Macquarie and other panel lenders rather than choosing a bank on one policy feature alone.
Where Macquarie may be the better fit
Macquarie remains a strong alternative where the borrower already has standard income evidence and values a streamlined, broker-led assessment. It is frequently shortlisted for straightforward full-doc lending and property investors, but its current treatment of future or newly commenced employment must be checked for the individual application.
Which lender should you choose?
Bank of Melbourne deserves an early policy check when a signed employment contract is central to obtaining pre-approval before the first payslip. Macquarie may be stronger when speed, simple loan administration or investor assessment matters more. A broker can compare policy, servicing, live rates, fees and timing together before recommending a path.
A note on pricing
Indicative only — check current pricing. Rates, fees and cashback offers change frequently and vary by loan purpose, LVR and lender promotion. Nothing on this page is a quote; speak to an XLOANS broker for live pricing from both lenders.
Policy source
Public documents support the general evidence position. Broker policy and approval conditions can change, so XLOANS confirms the current requirements before lodgement.
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Frequently asked questions
Indicative only — check current pricing. This page is general information, not financial advice, and does not quote live rates. Lender policy, pricing and cashback offers change frequently. Speak to an XLOANS broker for advice tailored to your situation.
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