Finance through Super income account?

[tr4p0]

I'm not sure if this is possible but was just wondering if you can finance your purchase when retired by making the monthly payments with a superannuation income account. The only reason for considering this is that it seems the current interest rates are lower than what you are likely to earn through Super.

Any thoughts?

 

[Onshore]

That might be one for your accountant

 

[paulp]

My understanding is that if you have transitioned your fund to pension phase you can spend the pension income on whatever you want.
but the penalties are severe if you get it wrong, so some professional advice would be a good idea

 

[doggy1]

I agree. Get prof advice. I have managed a fund for many years and the govt. has recently really toughened up on arms length transactions and benefits. I would certainly NOT be doing this in our fund! But, get your own advice.....

 

[tr4p0]

I wasn't planning on 'tying' the fund to the loan, just getting enough out each month so that I could transfer the loan amount myself. I've been operating my Super Income account for several years now on the minimum draw-down amount.

 

[cafz]

I'd guess the only trick will be if the lender will write a car loan based on superannuation income.