Pepper Money has expanded its white label partnerships with AFG and Mortgage Choice, adding commercial and eligible self-managed super fund (SMSF) lending solutions to AFG Options and Mortgage Choice Ignite.
The move comes as brokers navigate a rapidly shifting SMSF lending landscape, following the federal government's decision to prohibit SMSFs from using limited recourse borrowing arrangements (LRBAs) to purchase residential property. The announcement came in June as part of Labor's deal with the Greens to secure passage of the 2026 to 2027 federal budget through the Senate.
The legislation, which received Royal Assent on 26 June, provides a 45-day transition period before the ban on new residential SMSF LRBAs takes effect on 10 August. Existing arrangements are grandfathered.
Against this backdrop, lenders and brokers have been reassessing their SMSF strategies.
Pepper said the expanded white label offering is designed to help brokers continue servicing existing residential SMSF clients while also capitalising on opportunities in commercial SMSF lending.
"The specialist lending landscape is evolving, and brokers need lending partners [who] understand where opportunities continue to exist," said Matthew Rehayem, head of white label and strategic partnerships at the non-bank "While the proposed changes are reshaping residential SMSF lending, brokers will continue to support customers with existing residential SMSF lending and commercial SMSF opportunities. Our role is to provide our aggregator partners and their brokers with the practical lending solutions and confidence they need as the market evolves."
The new products are now available through the AFG Options and Mortgage Choice Ignite white label platforms. Brokers can access commercial and eligible SMSF lending alongside existing residential loan products.
In addition, under the white label model, aggregator partners are able to offer lending solutions under their own brands while leveraging Pepper's credit expertise, servicing capability and operational infrastructure, Pepper said.
Rehayem added that the expansion builds on the lender's long-standing relationships with aggregator partners.
"This is about evolving our existing white label partnerships to give brokers access to more lending solutions through the aggregator brands and platforms they already use every day," he said. “By leveraging our scale and deep broker relationships, we’re able to deliver white label solutions that empower our partners to grow their businesses while helping more customers access the helpful loan options they need."
But brokers benefit too. The expanded offering creates an opportunity to broaden broker expertise and diversify lending capabilities, an increasingly important focus as customer expectations continue to shift beyond traditional residential lending.
"Diversification has evolved from being a nice to have to a genuine necessity for brokers. Consumers aren't just expecting brokers to support their residential lending needs," said Aaron Slater, general manager of distribution at Mortgage Choice. "The expanded Mortgage Choice Ignite offering ensures that our brokers have even more lender and product options to meet market demand and find the right solution for their customers."
Meanwhile, both SMSF lending and commercial lending have been gaining traction. At Pepper, the specialist lending business, which includes both commercial lending and SMSF lending, grew nearly 60%, year-over-year. But it's not just at Pepper. The growth reflects a broader market shift.
"SMSF and commercial lending are becoming a much bigger part of broker conversations," said Hayden Cush, AFG general manager of white label. "Expanding AFG Options in partnership with Pepper Money gives brokers more ways to support clients as those opportunities continue to grow."
The expanded white label offerings come as the ASX-listed non-bank, which turned 25 last year, continues to grow.
In February, the firm posted record originations, with mortgage originations up 66% in the year ending 31 December 2025, and total assets under management (AUM) increasing 14%, year-over-year, to $21.8 billion, up from $19.1 billion in December 2024. According to Pepper, its white label business now accounts for more than half of its mortgage distribution.
Pepper offers residential home loans in both Australia and New Zealand, as well as personal, commercial, asset finance and self-managed super fund lending in Australia. The firm was founded in 2000, and went public in 2015, only to go private again after being acquired by KKR in 2017. Pepper was eventually relisted on the ASX in 2021.
The company has since served roughly 570,000 customers. At the firm's 25th anniversary celebration last spring in Sydney, Mario Rehayem, chief executive officer of Pepper, told Australian Broker that Pepper's next goal is to surpass more than one million customers by 2029.
