two weeks to settlement - freaking out

Recommended NAB when turn around times are something like 18 days to pick up... Not sure of the reason, hard to say if it was a good recommendation or not

 

Automated Credit Decisioning sounds like credit scoring to me...

Introducing our Automated Credit Decisioning capability FAQs
25-Oct-2019
What is changing?

We're introducing Automated Credit Decisioning (ACD) capability and improving the speed of the loan assessment process.

Why are you making these changes?

We want to provide your clients with a faster application to formal approval experience. ACD will reduce the time to conditional approval and will enable a faster time to decision and/or formal approval in many cases.

ACD technology is already commonly leveraged across the industry. Implementing ACD now enables us to align with the industry standard.

When will this change take effect?

This change will take effect as of 8am Saturday 26 October 2019.

What is ACD and how does it work?

ACD is credit decisioning software designed to automate the credit decisioning process and improve the efficiency of the loan assessment process.

ACD will have the ability to automatically collect third-party information required to assess an application, such as fraud and credit checks, title searches, Lenders Mortgage Insurance (LMI) and property valuations. It will also contain credit rules reflecting our credit policy and procedures. ACD will automatically apply these rules to new loan applications at the point of submission. If an application passes the ACD credit rules, ACD will produce a conditional approval and the processing of these applications will be expedited.

Chat type of applications will we use ACD for?

ACD will be used for all new loan applications <PAYG and Self-employed>. ACD does not apply to variations, to construction loans and land loans, or to company/ trust deals.

Do I still need to provide a valuation?

You can still provide a valuation if you choose to. However, if you choose not to, we will order one for you - the ACD Decision Engine will automatically order an appropriate valuation based on the application requirements.

If you start to order a valuation, please ensure that you complete the process as you do today, so that the application is processed without delay.

This automation applies to new business valuations only. It does not apply to variations or increases; or to construction loans and land loans. These should all continue to be ordered as they are today.

What does are the key changes and benefits for me and my clients?

Your clients will benefit from the following new features and improvements as a result of our improved loan application experience:

1. Faster automated conditional - ACD will enable a faster time to decision as new customers will receive an autogenerated, simplified conditional approval letter, sometimes within minutes from the point of application, if the application is approved by ACD.
2. Earlier insight into the progress of applications - You will be able to communicate progress to your clients quickly and earlier at every stage, as ACD enables the communication of the direction and potential of an application faster and at all stages.
3. Improved customer letters making our offer clearer for clients - The Conditional Approval/ Pre-approval letters have been simplified by the removal of detailed conditions/RMI. The formal approval letter has also been updated to include the final interest rate and additional relevant loan information.
4. Back channel messages have been improved - You will also notice that the BCM messages have been streamlined and have an improved look and feel.
5. More consistent and reliable decisions - ACD will enable more consistent decision outcomes allowing us to demonstrate to your clients our reliability as a credit provider.

What do I need to differently?

There's no change to the process today, however the ACD conditional approval will be based on the information you provide at the point of submission, so it is now more important than ever that you:

1. Ensure that the information you provide is accurate and complete
2. Upload and Self-Verify all documentation required based on application type as per the supporting document checklist

 

AMP don't tely solely on Credit Score @Marty McDonald every application goes to a credit analyst for assessment - (on the marketing material the BDM gave me)

 

No

 

I can understand why you are high risk. It is the mortgage insurers that are probably preventing an approval. Do you have enough for 20% plus costs so you can avoid lmi? Being on $300k+ would prob mean you have some funds behind you.

 

I'd say don t believe their marketing Lindsay. The new system sounds a hell of a lot like credit scoring to me. You know that saying.... looks like duck, sounds like a duck, walks like a duck....

Even if they dont auto decline on scoring (yet) the score would have a material impact on likelihood of approval I have no doubt. So its credit scoring just not giving a hard NO at submission (yet).

If you read the extract below its clearly talking about automated credit scoring. It mentions the benefits ie instant conditional approvals. It doesn't mention what happens if the applications fails!

>>>>>>>>>>>>
What is ACD and how does it work?

ACD is credit decisioning software designed to automate the credit decisioning process and improve the efficiency of the loan assessment process.

ACD will have the ability to automatically collect third-party information required to assess an application, such as fraud and credit checks, title searches, Lenders Mortgage Insurance (LMI) and property valuations. It will also contain credit rules reflecting our credit policy and procedures.

ACD will automatically apply these rules to new loan applications at the point of submission. If an application passes the ACD credit rules, ACD will produce a conditional approval and the processing of these applications will be expedited.

 

whats a declined transaction on your credit card???
I have them all the time, I put in wrong numbers, wrong expiry dates, wrong CVC numbers, (all typos)
sometimes the transaction is too large for the merchant, sometimes the merchant stops it because ive done too many transactions at the same time

and im assuming the lender and cc are the same company to see declined transactions

there was once stage where I was maxing my cards out (for personal reasons) up to 20 times in a few weeks, and never did it show on my credit report

 

all of the above. Add to the list I'm a disloyal millennial who believes in shopping around for the best deals, and didn't know until 2018 that it impacts that stupid credit file. Since 2018, I've:
- paid off all my credit cards and closed them
- paid off car loan
- kept a single credit card for travel at $2200 limit
- Put aside 5 to 6k a month of savings for a home, in addition to paying 2.5k a month rent

Also add to the list (and this is the dumbest bit), I'm in a super high demand area of IT. I've changed jobs annually, but with a salary increase each year of about 30%. two years ago I was on a measly 175k.

Also, suffered identity theft last year in October, I've been battling lawyers and police and rating agencies to get a bunch of crap off of my credit files.

Basically, had I known what I now know, I would have asked the broker much tougher questions about the different types of loaner and their approval processes. I would have gone to a broker who specialises in my type of situation.

Also, I'm not some "born here to rich parents" brat. Naturalised in 2013, and where I came from, I was lucky to have 2,000EUR a month as salary. spent a good portion of my first years here self-funding grad studies, so yes, now I'm high income and relatively low assets for my age, but the banks treat me like a leper, when if anything, I'm a battler and an up-and-comer.

the way banks treat my as "high risk" after how hard I've worked to get where I am....well, it's discouraging to say the least.

 

This is the stupid thing. A credit enquiry means nothing, a line of credit, your repayments on it, and whether it's open or not means something. Who cares if you went shopping around, but ended up sticking with your exiting car/loan?

CCR WAS supposed to fix this, but getting my CCR credit file doesn't show the current credit card I have, just the platinum AMEX I closed in 2018. So banks assume all enquiries equal a current liability, and it's very hard to prove otherwise.

 

UPDATE: Macquarie are now assessing our joint application as risk 3, rather than just mine at risk 5. So I've passed the automated process and should get a definitive response today.

Macquarie don't care about my wife's phone default, funnily enough.

 

Also, i work in digital banking systems. I'm a total banking nerd. I've worked at about a dozen tier 1 and neobanks, and have just as many bank accounts open.

We need a millennial disruption of this entire ageing system that penalises tech-savvy shoppers. Maybe open banking/consumer data right will be the answer, hopefully

 

I don't know either, but at this point, at 5 business days to settlement, it's a bit late to change horses in this race.

I was never made aware by him, that I was potentially high-risk and we should go with a certain type of lender. I didn't lie or hide any facts about my financial situation. I guess he's just used to doing vanilla loans for vanilla applicants, he didn't think to ask.

 

Could this be the issue that's getting in the way?

 

When a broker looks at your file and says "yeah that won't be a problem" and then both BOM and Macquarie systems automatically reject you without ever disclosing why, it is very hard to be given the change to explain and make your case to the bank.

This has been the most frustrating aspect of this whole experience, the humans at the lender have no power to overturn or even explain a computer-based decision.

 

You come across as incredibly arrogant. You are speaking down to ad arguing with everyone who is trying to help you. The quote above sums up your thoughts on others when you think that 175K is a "measly" income. Most people earn far less than that!

 

These two comments are somewhat contradictory. There are a number of finteck lenders in the market. They're cheap and quick, but the moment they even smell a credit scoring problem, the application gets declined by the system with little to no human intervention or grounds for appeal. Working in this sector, you should already understand this.

Consider this from the lenders point of view. They've got the money, you want it. You're not the one who gets to dictate the terms here and you've got something nasty in your credit history.

I've seen what identity theft does to credit files and how lenders respond. Most simply don't want to take on the risk at all and it's not worth their time to sort it out. Regardless of the outcome of this deal, you should probably go get a copy of your report and verify that everything fraudulent on there has been completely removed.

This might be helpful. I recently met with some solicitors who specialise in credit repair. They've got a very reasonable fee structure and may be able to help.

Contact:
Yousif Matti
Credit Repair Solicitors
[email protected]
1300 004 912

 

What happened here?

With wife off the application and you only on there, decent income/savings, servicing struggle to see issue.

Also <$1k bill for utilities pretty easy to get signed off on with decent application.

 

Someone got a copy of my driver's license and started applying for all types of consumer credit. I nipped it in the bud because I was already subscribed to experian's credit alert product. Identity theft is a devastating attack. it is extremely difficult to undo the damage done.

I have all three copies of my credit file, none of them are as complete as the info the backend systems the banks have. I can't fix what I don't know is wrong.