Our Panel of Lenders

We have entered into an agreement with CHOICE AGGREGATION SERVICES, who acts as an intermediary between lenders and brokers.  Such intermediation is known as an “aggregation service”.  Under the agreement we are paid various upfront and trailing commissions in respect of each Lender. The AGGREGATOR IS PAID the amount specified in Annexure A and BROKERS RECEIVE A PORTION of that amount, which is the same proportion irrespective of which Lender is selected.  The AGGREGATOR generally retains up to 20% of lender commission and charges the broker ongoing fees for administration and other support services from time to time.

Subject to meeting the respective lenders’ credit criteria, we are able to obtain credit for you from the Lenders listed in the table below. While we don’t facilitate loans for absolutely every lender in the market our panel does constitute a comprehensive range.

Fees & Commissions

INDICATIVE NET COMMISSION RATES

This is only a rough approximation of the average.  The rates and conditions vary widely between aggregators, lenders, loan products and loan features.

For a precise value you must apply the rate schedule below and deduct fees paid by us.

While it is difficult to precisely determine the amount due to the complex series of commissions, apportionments and fees, a rough estimate of average commission payable to your broker is:

0.55% up-front commission on the loan amount drawn at settlement; and

0.22% of the annual loan balance as a trailing commission.

That percentage value estimate is the lender’s commissions including GST, but net of:

·         Aggregator’s split (normally around 20%),

·         Periodic administration fees  (monthly/annual),

·         Per loan administration fees,

·         Product specific commission reductions..

NO Fees payable by you to us:

Whether you proceed with the loan or not, no fee is payable by you to us unless you have specifically requested additional services (such as an ad hoc credit check, or title search).   

Fees payable by you to the Lender:

Application Fees: Some lenders charge application fees, while others charge fees for settlement, legal expenses, title searches, valuations or sundry items.

Your broker will estimate those fees in the form of a quote prior to you submitting an application.

Valuation Fees:  Your loan quote will identify any such fee for your consideration prior to your application submission.

Fees to be received by us other than from you:

See attached schedule A setting out the various upfront commissions and trailing commissions to be paid by each lender. We are entitled to receive a gross portion of at least 80% of the upfront and ongoing trail commission paid to the aggregation service provider.  Out of that portion the aggregator deducts its periodic administration fees and any fee charged on a per loan basis.

For the purposes of this Agreement, “up front commission” is commission calculated as a percentage of the loan amount paid after settlement of the loan.

For the purposes of this Agreement, “trailing commission” is commission calculated on the outstanding loan balance paid regularly in arrears (i.e. monthly, quarterly etc).

Referral Fee:

If you were referred by an affiliated service provider or agent, then a portion of the our commission may be shared with them for that referral.  The duty to disclose those fees depends upon the regulations applying to the referrer.

Broker Declaration:

We confirm that:

·         We do not determine or recommend the conditions of the credit contract (such as interest rates, fees or the term of the loan);

·         We and nobody else will receive any financial or other benefit or have any other interest or relationship which could reasonably be expected to influence our recommendation other than as disclosed in this agreement; and

·         We undertake to inform you if, after recommending a particular product and prior to you entering into a contract for that product, the commission payments differ from those described in this agreement.

General

Variation of Agreement:

These conditions may be varied at any time before the expiry date by agreement of the parties in writing.  The lenders, or aggregator can vary the commission rates at any time and the access to ongoing trailing commissions is in no way guaranteed.

Aggregator Variations

The rate of commission paid to aggregators can vary between aggregators, as may the commission splits passed on to the broker.

Claw-back Provisions

With some lenders, if a borrower pays out, or re-finances their loan, the lender may re-claim the up-front commissions from the originating broker.

 

 

Privacy Disclosure Statement & Consent

We collect personal information about you to provide our brokering services.  The information is required to allow us to assist you in preparing the loan application and locate an appropriate lender.  If your information is not provided we may not be able to find an appropriate loan for you.

 

We may use your information to provide you with offers or information of other goods or services we are able to provide you with, unless you tell us not to.

 

We may disclose your information to other organisations to fulfil the purposes identified (or purposes related to those purposes).  The types of organisations we may disclose your information include:

·         Lenders, Mortgage insurers and mortgage intermediaries;

·         Valuers; and

·         Other organisations that assist the process (such as lawyers, debt collectors and accountants).

 

In addition, we may disclose your personal information to any other organisation that may wish to, or has acquired, an interest in your loan or in our business.  In some circumstances we may need to obtain a copy of your credit report.  If we do so, then you are entitled to a copy of the report and we will gladly provide it.

Please refer to our Services Guide and Privacy Policy for further details.

This document constitutes an annex to our standard Letter of Engagement/Finance Broker Agreement and is referred to within that agreement.

 

 

LENDER COMMISSION SCHEDULE

 

Lender

Up-Front Commission

(as a % of the loan amount, incl. GST)

Trail Commission

(as a % of the loan amount, incl. GST)

AMP

0.33 to 0.715

0.187

ANZ

0.55 to 0.728

0.165 to 0.22

ANZ Commercial

$50K to $2.5M  0.55%, >$2.5M 50% of the Loan Approval Fee, Spotter only >$50K 0.50% (capped at $20K unless otherwise agreed)

$50K to $15M 0.20%, >$15M Nil unless otherwise agreed, Spotter only Nil

ANZ Personal Loans

$0 < $1.5M = 1.65% of the loan amount, $1.5M < $2M = 1.70% of the Loan Amount, >$2M = 1.75% of the Loan Amount

Nil

BankWest

0.55

Year 1 and 2 - 0.165
Year 3 - 0.22
Year 4 - 0.2475
Year 5+ 0.275

BankWest (BEX)

Up to $3M - 0.66 assuming 0.5% establishment fee is collected

0.22% providing Bank receives ‘Required Margin’.

BankWest Commercial

up to 50% of establishment fee

0.22% providing Bank receives ‘Required Margin’.

BMC Mortgages

0.77, Interstar Loans 0.88

0.275,Interstar Loans 0.3025

BMC Mortgages Commercial

66% of establishment fee Product 1, 0.385% Product 2, 0.715% Product 3

Nil Product 1 and 3,  0.275% Product 2

CBA-Colonial

0.55 to 0.715 Max.

 Equity Line 0.715% x 75% of approved limit. Equity Line 0.715% x 75% of approved limit.                    0.715% maximum
a) Base Rate of 0.500%
b) MSA assessment N/A
c) Submission Quality>= 80% error free 0.025%
 Submission Quality>= 90% error free 0.050%
d) Conversion Ratio >=75%  0.025%
 Conversion Ratio >=80%  0.050% 
e) Online Submission >=75%  0.025%
 Online Submission >=90%  0.050%

Up to $220 additional for selling the following CBA products
Streamline $50
Credit Card $15
General Insurance $35
Loan Protection $100
Note based on an average loan size per customer of $300K. Customer makes Home Loan repayments from this account.

Nil Year 1, 0.22% Year 2 onwards
 Payable one month in arrears for the life of the loan.Equity Unlock Loan for Seniors Trail Nil.           Referral Services (Flat Service Fee) Nil

CBA-Colonial, Commercial/Referral Partner Program

$250K to $3M 0.55% of approved facility limit, $3M to $10M 55% of establishment fee, $10M+  By Negotiation not greater than 55% of the Establishment Fee. Referral Partner Program  Spot & Refer<$150K Nil, >$150K<$3M 0.55% of approved facility limit (max $15K), >$3M Up to 50% of establishment fee (min $15K, max $25K)
<$150K Nil, >$150K - $3M 0.55% of approved facility limit (max $15K)

0.275, Referral Partner Program  Nil

Challenger Financial Services (Commercial only)

0.66

0.275

Citibank

0.77

0.275

Heritage


0.605%


Year 1 & 2 - 0.165
Year 3 - 0.22%
Year 4 onwards - 0.275%

Home Loan Centre Australia

0.55 to 0.77.       0.66% GE Money, Liberty, 0.77% or 0.55% Redzed depending upon loan type,0.55%  Sintex Monet/Breez, 0.99% no trail payments are also available for Adelaide Bank, Origin, ING, First Mac and Mobius, this option must be requested at the time of lodgement. LOC (including Lo Doc) Adelaide Bank Introduction Fee is calculated on either the first initial drawdown of the loan or 75% of loan amount, whichever is greater. Origin, First Mac and ING Introduction Fee is calculated on the approved limit.

0.165 to 0.275.           0.165 GE Money, Liberty, Sintex Monet/Breez.  commission will not be paid during any special interest rate, Honeymoon interest rate or Fixed rate period,0.22% RedZed and MobiusTrail.

HomeLoans Limited
 - All In One

0.715
Nil Upfront on LOC attached to these loans

Trail 0.165– Years 1 and 2
0.22 - Year 3 and ongoing years

Homeside

0.55 to  0.715 maximum. 0.55% 1 or 0 Stars, .605% 2 Stars, .66% 3 tars, .715% 4 Stars Note Upfront based on Star Rating System a total of stars earned under three quality components: Application quality, portfolio performance and education/professional development.

Nil to 0.385maximum.    Nil  Year, 0.165% Year 2, 0.22% Year 3, 0.275% Year 4, 0.33% Year 5,
0.385% Year 6 onwards

IMB Commercial

0.66

0.275

ING Commercial

0.77

0.275

ING DIRECT

0.55 to 0.715 (for all loans that settle from 1st April to 30th June 2009 upfront rate = 0.66%).
Sales Volume Less than 50% <$25m Nil, >$25m<$100m 0.275, >100m<$200m 0.55, >$200m 0.825
Application to Settlement Conversion >50%<60% -  <$25m 0.275, >$25m<$100m 0.55, >100m<$200m 0.825, >$200m 0.11,  >60%<70% <$25m 0.55, >$25m<$100m 0.825, 100m<$200m 0.11, >$200m 0.1375,  >70% <$25m 0.825, >$25m<$100m 0.11, 100m<$200m 0.1375, >$200m 0.165. Conversion is calculated on the basis of applications over a six month period three months in arrears that have settled up to the time of measurement. Settlement volume is calculated over 12 months.

0.165 Years 1, 2 and 3 and 0.22 Year 4 onwards

Liberty Commercial

0.75

0.40

Liberty Specialized

0.99 Non Conforming. 0.77 AAA

0.275 Non Conforming. 0.220 AAA

Mac Leasing

Between 0 to 4%

Nil

National

0.66

Nil

National Commercial

Business Loans  0.50% of total limit (unless drawn progressively, then 0.50% of each draw down) Max $25,000. Business Overdrafts  0.50% of half of the total limit  Max $12,500. Debtor Finance 50% of the face value of first batch of debts (max $10,000) and 15% retention of ongoing purchase charges.

Nil

Paramount Mortgage Services

0.55 to 1-10

0.275

Paramount Mortgage Services Commercial

0.55

0.275

Pepper Home Loans

0.935 (Commission is capped maximum of $22K)

0.385

Police and Nurses Credit Society LTD

0.55

1st Year = 0.11%, 2nd Year = 0.165%, 3rd Year onwards = 0.22%

Provident Inventory Finance

1%

0.50

RAMS

0.66

0.165

RBS

0.55 to 1.1 or 2.00* Reverse

0.275 or Nil Reverse, 0.275 or Nil for Investment Loan & Accommodation Bonds

Resi

0.55%

0.165%

St George

0.77

0.165 to 0.275

St George Commercial

$0K to $250K  Nil, >$250K<$2.5M  0.55% of Facility Fee, >$2.5M 0.50% of the Establishment Fee).

<$250K Nil, >$250K 0.22%

Suncorp


Target Business 0.66%
Non-Target Business 0.00%
Fixed Rate Loans 0.33%

Commission on LOC  is 75% of the approved limit.

Nil Trail payment in 1st Yr on all loans
Target & Non Target Business:
 - Year 2&3 0.22%
 - Year 4 onwards 0.275%
Fixed Rate Loans
 - Year 2&3 0.11%
 - Year 4 onwards 0.165%

Suncorp (Small Business)

0.66% <$1M, 50% establishment fee (Commercial) >$1M

0.25

The Rock Building Society

0.605

0.220

Westpac

0.55

0.165

WestPac Commercial

<$3M 0.55%, >3M 50% Est Fee, Business Options 50% Est Fee,Invoice Finance 0.50% take up ledger ,Commercial Bills 50% Est Fee, Fixed Loan <$500K 50% Est Fee

<3M and >3M 0.15%, Business Options Nil, Invoice Finance Nil, Commercial Bills Nil, Fixed Loan 0.10%

Wide Bay Australia Ltd

0.50

0.20

Xplore

0.88

0.22