Banks are starting to introduce Customer Transaction Verification (CTV)

Several banks have started implementing a CTV process for home loan applications to capture customer living expenses. This because of the growing concern they have around the accuracy of clients stated living expenses. Sometimes the process is triggered when a customer’s estimated living expenses are lower than HEM, sometimes just because the bank is feeling the pressure from APRA and ASIC.

You see, you used to be able to tell a bank what you were spending every month. $200 on groceries every week, $300 on petrol and tolls, $600 on gas and electricity every quarter etc. That was fine. The bank were happy to take your word for it.

But then the royal commission happened and the banks were getting into a lot of trouble. If your expenses were well below the average (measured by the banks against HEM or HPI) they needed to make sure your figures were accurate. Many times this was not done… At least not in any meaningful way……

That is now changing. New policies are being put into place for checking your actual living expenses. Many banks are already asking for your transaction statements to back up your current stated living expenses. And I personally believe the method by which they check will continue to change and we will probably come to a point where they won’t ask you to state your living expenses anymore. They will ask for (all) your bank statements and tell you how much you spend every month….


…..Find out what we can do for you….


    What is in this for you?

    If you want to buy a house or build an investment portfolio, know your spending and manage your spending. In a broader sense, the banks care about your spending habits for their own interest, you should too. In fact, even more so as this is your financial well being. Boring as it might sound, it is good to know your numbers. Have a system in place to manage your spending and saving. Reduce financial stress in your life. Have an emergency fund set up. Buy your next car with cash. Know the kids education cost is sorted.

    Find a good money or wealth coach to help you set that up.

    How can Erik Reurts- Micah Finance Solutions help you?

    If you are thinking of buying a property in near future and want to to know more about CTV process or which bank is the best for your circumstance, Call me via 1800756267 or

    Email me via

    to get a free Consultation so you can the best deal for your next purchase!

    Thank you

    Erik Reurts