How is a mortgage brokers process different to going direct to a lender?
As your trusted mortgage adviser, we work very differently to how you might be used to when you visit your bank directly.
Generally speaking when you approach a bank they will have one set of products, which may or may not be suitable for you.
The bank will generally take an application first, then ask for your supporting documents afterwards to see if you are eligible for that application. After some time they will then advise you if the application has been approved or declined based on the information provided.
How are we different? We work the other way around – we ask for all the information and documents that most lenders want to see when assessing your application – only we ask for them before doing any applications. This enables us to take away the guess work and understand your position thoroughly so that we can make accurate recommendations that match not only your requirements, but also match documents you have available when you are ready to make an application.
We do not submit any applications to any lenders at this initial review stage, not until we have provided you with options to consider and not until we have your consent to do so. Prior to proceeding, we generally require you to sign the lenders applications forms, so you know you are protected at all times.
Why do we ask for documents upfront? Often we will ask for some documents before meeting with you to discuss your options. The reason why we ask these documents is so that we are able to fully understand your situation. At this initial stage we only use the documents for our internal review so that we can make some relevant recommendations for you to consider. By gathering all the information that a lender would usually ask for, it allows us to ensure that any recommendations that we make match the lenders policy and has a high chance of being approved if you do decide to proceed. Our industry is heavily regulated and bound by the privacy act, ensuring your information is protected at all times.
What if I don’t want to proceed once I have provided you with my documents? You have no obligation to proceed with our recommendation after providing your documents and we have not made any applications to any lenders at this time. If you don’t believe our recommendations are suitable or would like to consider other options, simply let us know and we will be happy to look at alternatives.
When do we submit an application? An application will only be submitted once we have received your consent to do so and after you have considered our recommendations which will be detailed in our ‘Preliminary Assessment’ documents that we will provide to you once we have completed your initial review.
How do we obtain your consent? To obtain your consent there are certain documents that we must provide to you that will make it clear exactly what you are applying for, and the relevant fees and interest rates that may apply. These documents are set out by our industry regulators and we will run through these with your prior to any application is made. At this point you may choose not to proceed if you wish.
Why do we follow this process? The process that we follow allows us to confirm which lenders you may be eligible for without the need to make any applications to any lenders, and without the need to make any credit enquiries on your credit file – as we know how this can impact on your credit rating. By doing our home work upfront and taking away the guess work, we very rarely have any surprises in our applications and our approval rate is well above the industry average – in fact we very rarely see any of our applications declined.
Has someone made an application without your consent? If you believe that we, or anyone else has made an application for finance without your consent then you have the right to lodge a complaint. To make a complain we would generally recommend contracting the provider, or us first. If you are unsatisfied with the outcome or do not believe they are taking your complain seriously then you can lodge a complaint with the Credit & Investment Ombudsman (CIO) by visiting http://www.cio.org.au/ – you can find out full dispute resolution process by visiting the compliments and complaints section of our website.
We want to help you get the lifestyle you want
We specialise in all things finance and can help you with:
- Home loan purchases and re-finances
- Investment property finance
- Home loan comparisons
- Debt consolidation
- Car/boat/caravan finance
- Personal loans
- Commercial and business finance
- Plant and equipment finance
- Ongoing education
Our ongoing commitment to you
We understand that your circumstances change, as do the lenders and their policy. It is for this reason that it is critical to take a pro-active approach to your home loan and general finances, today – and in to the future. Our pro-active approach to annual reviews ensures that you stay ahead of the game and don’t give up more of your hard earned dollars than necessary.
Contact us today to find out how we can help you!
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