When separating in Australia, assets are formally divided through either Consent Orders (filed with and approved by the Family Court) or a Binding Financial Agreement (BFA, a private contract). Both are legally enforceable, but they differ in process, cost, timeline, and how lenders treat them when you apply to refinance.
What are Consent Orders?
Consent Orders are written agreements between both parties that are filed with the Family Court of Australia. The court reviews the proposed orders to ensure they are "just and equitable" before approving them. Once approved, they have the same legal force as a court order made after a trial. They cover property division, superannuation splitting, and maintenance. Understanding how property settlements work in SA provides useful background.
What is a Binding Financial Agreement?
A BFA is a private contract between the parties. It does not require court approval. However, both parties must receive independent legal advice before signing, and each lawyer must sign a certificate confirming they provided that advice. BFAs can cover the same matters as Consent Orders. For a deeper look, see our guide on what a BFA is and when to use one.
Side by side comparison
| Consent Orders | BFA | |
|---|---|---|
| Court involvement | Yes, filed with and approved by the Family Court | No court involvement required |
| Legal advice required | Recommended but not mandatory | Mandatory for both parties (with signed certificates) |
| Typical cost | $2,000 to $5,000+ (including court filing fees) | $2,500 to $6,000+ (two sets of legal advice) |
| Timeline | 4 to 12 weeks after filing (court processing) | Can be finalised as soon as both parties sign |
| Enforceability | Very strong (court approved) | Strong but can be challenged more easily |
| Lender preference | Accepted by all lenders | Accepted by some lenders (not all) |
| Super splitting | Yes | Yes |
| Risk of being overturned | Very low | Higher (if proper process not followed) |
Want to know how this applies to your situation?
Book a confidential chat with Jason or Steve. No cost, no obligation.
Book a confidential chatWhich do lenders prefer for refinancing?
Most lenders accept Consent Orders without question. They are court approved and carry the strongest legal weight. For refinancing purposes, having Consent Orders simplifies the application process. If you are wondering whether you need consent orders to refinance, the answer depends on your chosen lender.
Some lenders also accept BFAs, but not all. Those that do may require additional documentation or impose conditions. A specialist broker can identify which lenders in the current market accept BFAs and match you accordingly. This can save weeks of delay if you have a BFA rather than Consent Orders.
When to choose Consent Orders
Consent Orders are generally the safer choice when: the settlement involves complex assets, you want maximum enforceability, your preferred lender requires them, or there is any risk that one party may try to challenge the agreement later. The court review process adds a layer of protection for both parties.
When a BFA may be better
A BFA can be appropriate when: both parties are in full agreement, you want to settle quickly without waiting for court processing, the asset split is straightforward, or you are in a de facto relationship and want to resolve matters promptly. Speed is the main advantage. Understanding the refinancing timeline helps you decide whether the faster BFA process makes a material difference.
