The subsequent home withdrawal is designed to help keep a roof over your head if you are facing serious financial hardship. It can only be used in one of two situations:
- To help you if you are behind in your mortgage payments and a mortgagee sale is imminent.
- To buy out the interest of another person in your home or to buy another home in your own right, for example, following a relationship breakdown.
This benefit cannot be used to raise cash for any other purpose. You can apply for a significant financial hardship withdrawal if your mortgage is in arrears but the bank has not yet moved towards forcing a mortgagee sale.
How it works
The subsequent home withdrawal is designed so, in certain limited circumstances, you can withdraw some of your retirement savings to put towards buying a home or meeting your mortgage payments. You remain a member of the scheme, and your contributions continue. You do not have to pay the money back, and you will not lose any other benefit of being a member. You can only withdraw funds from the standard section. Any savings you have in the locked section are subject to KiwiSaver rules. Please call us to discuss your options if you need to withdraw funds from the locked section. Withdrawal options from the locked section are limited. We can only release locked funds under a court order (for example, as part of a relationship property settlement).
Check to see if you qualify
Use this decision tree to see if you qualify for a subsequent home withdrawal. Remember, it is not an automatic benefit. Any application you make will have to be approved by the trustee.