We have seen some significant changes of late regarding the way in which banks are approaching their lending practices. While there have been many changes made by lenders over the past 18 months, we are really starting to see more tightening in the credit space.
The Banking Royal commission, in my opinion, has influenced the way credit risk is being managed by the banks. It would be fair to say that some of these changes are for the greater good, but unfortunately there appears to be some over-reaction to recent events. This brings about more scrutiny, administration requirements and ultimately delays with the credit process.
On the flip side we are still in a very low interest rate market, with opportunities for you to be smart with your current or future finances. Most lenders are still very much open for business, whether you are seeking to reduce interest expense, restructure some debt for cash flow reasons, upgrade the home or are looking for an investment opportunity.
Currently, the major difference is the policy and process requirements between the Banks. For example, the review of living expenses and how this is now broken down for the banks assessment can vary considerably. This is a hot topic and much focus is now given to this area of your expenses. This can be very time consuming, and potentially frustrating, if all areas are not explained in detail.
Our role as Mortgage Brokers in the finance space is now more relevant than ever. The team at ADX Acquire Finance deal with these matters daily and understand what and how these areas need to be addressed. We dedicate significant time into research, not only identifying the most suitable product, rate and fees structure, but also the most appropriate Bank that can accommodate your individual circumstances. This is where we can add the most value, by saving you time and money by getting the right support and recommendation upfront.
We invite anyone with a lending enquiry or opportunity to contact our office today to see how we can make that positive difference for you.