Are you protecting yourself financially?
Please read the following tips to ensure you don’t fall into the trap that many Australians do each year when looking for that perfect home loan.
Educate yourself. We have endeavored to provide all necessary information for you to have a basic understanding of the mortgage industry, products and your rights as a consumer – so please take some time to read it.
Search for a mortgage broker that you are comfortable with. Look at their experience and qualifications. All Mortgage Brokers listed on this site are members of the MFAA or FBAA and need to be licensed with ASIC and COSL.
Beware of door-to-door and telephone solicitations.
Your broker is NOT qualified to give you legal, taxation or financial advice (unless they have additional qualifications). If your circumstances require specialised advice, seek it from a professional in that particular field.
Make sure that you can afford the proposed monthly payments. Do not agree to payments that you cannot comfortably make. Remember, everyone that goes bankrupt was approved for the home loan at some stage!
Never allow yourself to be pressured into a home loan. Reputable mortgage brokers strive to make consumers aware of and be comfortable with their home loan options.
Request an accounting of all fees associated with the transaction. Question any fees you do not understand. All fees and home loan details should be noted in the Finance Broking Contract (if applicable). Your broker should supply you with a copy of the contract.
Never sign a blank form for any home loan package and be sure to get copies of all documents bearing your signature. You should always receive a copy of your mortgage documents for yourself.
Never sign a contract without knowing and understanding all terms of the loan. If you are unsure of anything, you should seek independent legal advice.
Exercise your rights!!! If you feel you have not been treated fairly, do something about it. You can contact ASIC, COSL, the MFAA or FBAA. They will all have information on their websites to help you if you feel you need to make a complaint.
Please remember to leave positive comments for your broker if they have provided a good service and tell us if they haven’t!