Financing even harder now - almost impossible with new changes.

Depends is pointing some in a direction credit advice??

 

Credit activity (as defined in the National Credit Act) includes:

• providing credit under a credit contract or consumer lease
• benefiting from mortgages or guarantees relating to a credit contract
• exercising rights or performing obligations of a credit provider or lessor (either as the credit provider or lessor or on behalf of another person who is the credit provider or lessor)
• suggesting or assisting for a particular credit contract or consumer lease
• acting as an intermediary between a credit provider and a consumer (for a credit contract) or between a lessor and a consumer (for a consumer lease).

Do you need a credit licence? | ASIC - Australian Securities and Investments Commission

I'll let you decide.

 

Covered.....see below....

Examples of activities that are covered by exemptions include:

• passing on prepared documents or factual information in response to a request
• referring a consumer to a credit licensee.

 

I think trying to quote credit policy as a reason to use them is a little more than ‘referring’.

 

Seems to happen a lot on this site...its okay...so long as broker on this site can benefit...but mention non broker channels ..it gets interesting.

 

There’s quite a bit of commentary about lenders who don’t use brokers.
And there’s a fair bit of commentary about actual policy, from brokers, bankers and experienced investors.

There’s corrections to a lot of that, because there’s a fair bit of misinformation in the wider world. Like bankers over playing the benefits of being an existing customer. Like brokers downplaying online lenders.

You said rams use actual rate in their policy. This is incorrect. Just like it’s not correct that lenders somehow accept full offset accounts and read through your slideshow proposals on new lending applications.

Rams is a good lender for lots of people. I worked there for 3 years. Their low doc policy can be advantageous to some self employed people, and it’s certainly cheaper than many alternatives.
However their low doc niche has similar drawbacks to liberty and pepper in that if it changes in future those low doc clients are stuck at rams. Just the same as they were during the financial crisis. RHG upped the rates and the clients that couldn’t refinance got stuck.
Rams doesn’t have any policy niches for investors, except the ones they share with st George and westpac. Maybe multiple units on one title for construction, but that’s about it.

The issue is speaking to a rams employee or franchisee they make stuff up. They can’t send the application anywhere else so their credit team is constantly bombarded with exception to policy requests. Some of these get through. It’s a sheltered workshop.

What doesn’t get through is using actual repayments in their calculator, using lower than hem for living expenses.

They are wholly owned by westpac. It’ll be interesting to see the BRC comment on their low doc book and how long that lasts.