Your Legal Protections - Explained Simply
Australian reverse mortgages come with two important legal protections built into the law. These apply to all lenders on our panel. Understanding them may help ease any concerns you or your family have.
No Negative Equity Guarantee
What it means in plain English:
No matter how long you have the loan, or how much interest adds up - you will never owe more than your home is worth when it is sold.
If your home sells for less than the loan balance, the lender absorbs the difference. You and your estate are never responsible for paying back more than the property sells for.
Legislated Protection - This guarantee is written into Australian law under the National Consumer Credit Protection Act (NCCP Act). It is not just a lender promise - it is a legal requirement.
Guaranteed Occupancy Right
What it means in plain English:
You have the legal right to continue living in your home for as long as you choose - or until you permanently move into aged care or pass away.
The lender cannot force you to sell your home or vacate it - not under any circumstances - while it remains your principal place of residence.
Legislated Protection - This right is also protected under Australian law. Your home remains yours. No lender can override this guarantee.
What These Protections Do Not Cover
Transparency also means explaining the limits of these protections.
Important - Please Read
These protections apply when the property is sold in the normal course of the loan. They do not remove the risk of equity reduction over time. Interest will still compound and your estate value may still be significantly reduced. We encourage you to review our Costs & Risks page and to seek independent financial and legal advice before proceeding.
Sharing This with Your Family?
We have a dedicated page for adult children and family members that explains how these protections work, what questions to ask, and how the process keeps your parents safe.
Visit Our Family PageWant to Understand How These Protections Apply to You?
We will walk you through what these protections mean for your specific situation - clearly and without pressure.
Book a Free Discovery CallMoney at 60 (ABN 23 694 415 337 · CR 557838) is authorised under Invictus Group Pty Ltd (ACL 483078). Money at 60 is not a lender. We provide credit assistance only. The protections described on this page apply under the National Consumer Credit Protection Act (NCCP Act). This page is general information only and does not take into account your personal objectives, financial situation, or needs. It is not financial or legal advice. Before making any decision, please read our Credit Guide and consider whether the product is appropriate for you. Privacy Policy · Complaints · AFCA: 1800 931 678