Here are some of the frequently asked questions I get asked.
1. Do you have any professional accreditations?
Yes, I’m an accredited Associate Credit Adviser and full member of the Mortgage Finance Association of Australia. To achieve this level of accreditation the MFAA requires the following:
- Membership of CIO or the External Dispute Resolution (EDR) Scheme
- Professional Indemnity (PI) Insurance
- A certified clean National Criminal History Record
- A Certificate IV Finance and Mortgage Broking FNS40811 or FNS40810
- A Diploma Finance and Mortgage Broking Management FNS50504 / FNS50311 (within a year of joining)
- 30 hours of continuing professional development per year.
2. Do you have a wide choice of home loans?
I have access to over 40 lenders. These lenders comprise of the big 4 banks, the 2nd tier & regional banks, non-bank lenders and building societies.
3. Do you charge a brokerage fee for getting my home loan approved?
No. I get paid a commission by the lenders. My service to you is completely free of charge. I’ll do all the work for you; I’ll do all the negotiations, the paperwork, and the follow-up and there is no cost to you at all for this service.
4. How do you get paid?
I get paid a commission by the lenders for introducing new home loans.
5. What commissions do you get paid for writing my loan?
Mortgage brokers get paid an upfront (one time only) commission and a trail commission (an annual commission that gets paid for the life of your loan). The average upfront commission is approximately 0.7% of the loan amount, and the average trail commission is approximately 0.2%. The commission levels do vary slightly depending on the lender.
As part of my policy, I will give you a lenders commission table when providing you with my loan recommendations. My aim here is to give you full transparency and alleviate commission bias fears you may have.
6. Do you charge a Clawback Fee?
No. Most lenders will fully or partially clawback the commission paid to a mortgage broker if a loan is repaid or refinanced to another lender within the first two years. This leaves the mortgage broker out of pocket, and some mortgage brokers charge a fee accordingly. I will not charge you any clawback fees.
7. How do you compare loans and determine which loan is best for us?
Firstly I need to establish your personal & financial circumstances and your loan requirements. Once I have this information, I’ll then use our in-house software to produce a shortlist of several suitable loans. I’ll advise you on the pros and cons of each option, but the final selection decision can be made by you.
8. How are you owned?
I work for myself and have a corporate trustee business structure.
9. Do you have a Credit License or are you a Credit Representative?
I am a Credit Representative (CRN 480172) of Lifespan Mortgage Services (Australian Credit Licence: 365155), which is a family owned, West Australian financial services business.
10. Do you have Professional Indemnity (PI) Insurance?
Yes, I have PI insurance. Lifespan Mortgage Services is also a member of the Credit and Investments Ombudsman (CIO) M0004582. The CIO offers an impartial dispute resolution scheme to assist consumers to resolve any complaints that arise within the mortgage industry.
11. What privacy guidelines do you follow?
I handle your personal information in accordance with the Australian Federal Privacy Act 2001. I also abide by the Trade Practices Act, ASIC Act, the Fair Trading Act and the NCCP.
Want to talk more about your home loan options?
If yes, then please get in touch with me today and I'll be happy to help. All my home loan and mortgage services (from the initial meeting, right through to home loan settlement) are completely free to you.