Central Mortgage Credit Guide - online V3
This document provides you with information relating to our finance/mortgage activities and those of our credit representatives. It contains information about the steps in the mortgage process, documents required various fees and charges that may be payable by you to us, as well as about certain commissions we may receive when we are acting as your credit representative, or we pay to certain third parties. It also contains information about what you should do if you have a complaint or dispute in connection with our services or one of our lenders.
What is a Credit Representative
A ‘credit representative’ is a person who has been authorised by a credit licensee to engage in specified credit activities on behalf of the licensee. Our licensee is Central Mortgage Pty Ltd.
What is credit assistance
We give you credit assistance when:
we assist you to apply for a particular loan or lease;
we suggest you apply for a particular loan or lease (or suggest you apply for an increase to an existing loan); or
we suggest you remain in your current loan or lease.
The assessment we need to do before giving you credit assistance
Before we provide credit assistance to you, we assess whether the particular loan or lease is suitable for you. To do this, we need to make reasonable inquiries and verify that:
the loan or lease or increase will meet your requirements and objectives, and you can meet the proposed repayments.
We won’t be able to give you credit assistance if our assessment shows that:
you won’t be able to meet the proposed repayments without substantial hardship, or the loan or lease won’t meet your requirements or objectives.
Getting a copy of our assessment
If we provide you with credit assistance, you can ask us for a copy of our assessment any time up to 7 years after we provide you with a credit assistance quote. To request a copy please contact us, we will provide it to you:
within 7 business days after the day we receive your request – provided you make the request within 2 years of the date of our credit assistance quote; or
otherwise, within 21 business days after the day we receive your request.
The process after the assessment is complete
We’ll provide you with a credit assistance proposal, explaining how we plan to assist you. If you accept our proposal and supply all documents required, below is our typical process for this home loan submission.
First of all, we’ll invite you to our Salestrekker program and ask you to start adding initial information.
Once you have added as much info as you can including uploading ID documents, let us know.
We’ll then invite you to an online video meeting, at which point we will formally identify you.
In this meeting, we’ll also discuss your Needs and Objectives. Plus, your next steps to move forward.
To move forward we’ll ask you to sign this credit guide, agreeing to commence with our services.
Great now we are working for you and this document is signed, we can start our full assessment.
We’ll ask you at this point to upload to us copies all your income and employment documents
We’ll order copies of your credit files so we can discuss any findings from these reports relevant.
We’ll also order copies of your bank statements to discuss your living expenses from these statements.
At this point, if we are missing any info, we will also ask you for this to complete all our assessments.
Once our assessments are completed, we will look at your product options. (Lenders suiting your needs)
Next, we’ll book a Video meeting to explain these options and get your agreement on these options.
We’ll send you these options also in a formal credit proposal to sign before we start your application.
Once you have signed your credit proposal, we’ll get you to sign the lender's application forms.
If the lender allows, we’ll order a property valuation upfront and get from you any missing documents.
At this point, if all has gone to plan above your mortgage loan application will have been now submitted.
Of course, we need to let the Bank assess your application, so we will follow them up after a few days.
There may be extra items they will ask for, so we will let you know as they request this.
Everything going to plan we will get a conditional approval within this week after submission.
With all extra questions answered to the bank, we would then hope for a formal approval soon after.
We’ll call and/or email you notice of Formal Approval so you know this has been completed.
We’ll discuss final details of the conditions to formal approval with the lender’s assessment team.
The lender's solicitor will be instructed to prepare and send you mortgage documents.
A discharge notice should be sent to your current lender if we are changing lenders
The process after loan documents are received
You should contact us once loan documents are received from the lender's solicitor
We can assist you to complete and return loan documents to the lender's solicitor
Once documents are received back completed, the solicitor books settlement
If this is a purchase your solicitor books your settlement with the lender's solicitor
We contact you at this point and update you of the progress and outcome to date
With a settlement date confirmed we work with all solicitors in the settlement process
At settlement we let you know it’s now complete. (If purchasing it’s now your home!)
What happens after loan settlement
1 week after settlement the lender will have sent your mortgage account information
You should contact us if you have any problems accessing the new accounts
1 Month after settlement is normally the first payment, the schedule date can typically be changed
Post settlement we recommended from time to time you book in with us for a review. Simply so we can make sure the lender is keeping their end of the deal and arranged loans still are working as required.
Information about the licensee and its credit representatives
We act as a credit representative for Central Mortgage Pty Ltd. We are authorised to engage in credit activities including providing credit assistance on its behalf to you.
Subject to meeting credit criteria, we are able to assist you to obtain loans and leases; from a broad range of lenders and lessors through our broker group.
Always the final decision to commence finance is yours; as such if you are in any doubt please seek legal or financial advice prior to entering into agreement for us to assist.
In proceeding, you appoint Central Mortgage and their licenced credit representatives as your agents to act as per the terms in this credit guide. You accept finance can only be arranged if finance if found as not-unsuitable to your needs. Repayment of arranged mortgage facilities, services and any other associated settlement costs are of course your responsibility; as are extra costs as a result of any settlement delays.
The following are the top six residential lenders and % we have written business to in the 2019 / 2020 financial year:
Warren Minnette - Maquarie 40% / Adelaide 19% / ME Bank 13% / ING 5% / CBA 5% / Heritage 4%
Jacci Haynes - CBA 31 % / ING 21% / BOM 12% / ME Bank 8% / Heritage 6% / Macquarie 5%
Note: These aren’t all the Lenders we deal with, nor does this list imply that your needs would be best serviced by one of these lenders. We will do a full assessment prior to our recommendation relevant to your lending needs.
Fees payable for the provision of credit assistance
Application Processing and mortgage pre-approval (Including Auction) $660 per application.
Personal Credit file and Bank Statements downloads $55 per person.
Fees payable for the provision of credit services
Fee for service (See conditions below) *$4,400
Clients continuing in any arranged services for more than two years will have this fee waived.
*We charge this fee upfront but collect payment from you when our services end. Services end is defined as you refinancing or paying out any arranged services and/or you ending any commenced services.
Other costs for assessment of business financial reports, tax returns, applications with Lenders Mortgage Insurance (LMI), Priority Settlement, Guarantors, Bridging Finance, Construction, SMSF, Commercial, Non-conforming, Mortgages less than $200,000 and general priority requested may have additional costs. These costs will depend on your lending needs and will be disclosed to you in your credit proposal.
Other fees and charges
You may have to pay other fees and charges (such as application fees, valuation fees and other fees) to the lender, lessor or other parties. You should review the disclosure documents and your loan contract or lease for further details of any such fees and charges.
Commissions we receive from our licensee
Central Mortgage Pty LTD has appointed National Mortgage Brokers as its agent to receive commissions from lenders and lessors and to pay us commission in relation to loan contracts or leases for which we act as a credit representative and provide credit assistance. The total amount of commission we may receive in relation to your loan or lease may vary depending on the lender or lessor, the term, the features, the amount of the loan or lease you ultimately choose and the amount and timing of the repayments that you make.
Loan Contracts such as Home Loans, Investment Property Loans and Personal Loans
Upfront commission payable by lenders in relation to loans is calculated as a percentage of the loan amount and is generally in the range of 0.5% and 1% of the loan amount. It is usually paid after settlement of the loan.
Trail commission payable by lenders in relation to loans is generally calculated regularly (monthly, quarterly, bi-monthly or annually) on the outstanding loan balance and is paid in arrears. The trail commission payable by lenders is generally in the range of 0% per annum and 0.25% per annum of the outstanding loan amount.
Upfront commission payable by lessors in relation to leases is calculated as a percentage of the lease amount and is generally in the range of 1% and 4% of the lease amount. It is usually paid after settlement of the lease. Trail commission is generally not payable in relation to leases.
Further details of the commission earned by us will be included in the credit proposal disclosure document we will provide to you at the same time as we provide you with credit assistance.
You can request information from us about the fees that we are likely to receive, how those fees are calculated, and our reasonable estimate of the fees or commissions that will be payable in arrangements.
Our broker group might have volume bonus arrangements in place with Lenders. From time to time we or our broker group may receive a benefit, directly by way of cash bonus or additional commissions or indirectly by way of training, professional development days or sponsorship, if we or our broker group write a particular volume of loans offered by those lenders.
Broker benefits disclosures
In the interest of transparency and good customer outcomes, we keep a register of benefits received from any lenders or aggregators to the value of $100 or more. Over a rolling 12 month period and housed for 3 years. You may request a copy of this register to ensure there are no lender conflicts.
Commissions payable by us
If a third party has introduced you to us or referred you to us, we may pay them a commission or a fee. We obtain referrals from a range of sources, including real estate agents, accountants, financial planners or other people.
Further information about referral commissions, including our reasonable estimate of the amount of any commission payable and how it is calculated is available from us on request and will be included in the credit proposal disclosure we will supply to you when we provide you with our credit assistance.
ABOUT US (Central Mortgage Pty Ltd):
Australian Credit Licence
Central Mortgage Pty Ltd
Australian Credit Licence Number 384143
Mail: Suite 5, L1, 101 Hazel Glen Drive Doreen VIC 3754
Phone 03 9717 5993
Australian Credit Licence
Australian Credit Licence: 384143
Mail: Suite 5, L1, 101 Hazel Glen Drive Doreen VIC 3754
Phone: 0417 136 757
Australian Credit Representative
of licenced ACL Holder
Credit Representative Licence Number: 458493
Mail: Suite 5, L1, 101 Hazel Glen Drive Doreen VIC 3754
Phone 0401 963 335
OWNERSHIP: Central Mortgage Pty Ltd is owned independently by our Director Warren Minnette and managed by him and his appointed credit representatives. It is not owned by our aggregator National Mortgage Brokers (nMB). ACN 093 874 376 Australian Credit Licence: 286596
Our agreement with National Mortgage Brokers (nMB) is to obtain mortgage aggregation services. nMB provides services at arm’s-length to our business which include IT systems, loan information and lodgement systems, training and development, commission processing, conferences and professional development events, and assistance with regulatory and compliance obligations. In consideration of the services nMB gives us, nMB retains some of the commission panel lenders pay on loans we arrange.
Disputes and complaints
We are committed to providing our customers with the best possible service. If at any time we have not met our obligations – or you have a complaint about any of our services – please inform us so we can work towards a resolution. We will endeavour to deal with your complaint promptly, thoroughly and fairly.
How to make a complaint and the complaint process
If we have a complaint, we request you follow these steps:
In the first instance, please contact your credit assistance provider.
If your complaint has not been resolved to your satisfaction within 5 business days, please contact our Complaints Area as detailed below
Telephone: 03 9717 5993 Monday to Friday 9am to 5pm (AEST)
Mail: Complaints, Suite 5 L1 101 Hazel Glen Drive Doreen Vic 3754
We may ask for additional information and request you to put your complaint in writing to ensure your issue is properly investigated
In cases where your complaint will take longer to resolve, we will update your progressively.
Third-party products and services
If your complaint relates to a product or service acquired through a third party (for example, a lender) we may ask you to contact the relevant third party. They will deal with your complaint under their complaints resolution process.
If you are not satisfied with the resolution of your complaint by the third party under their complaints resolution process, you are entitled to have your dispute considered by their External Dispute Resolution Scheme. Please contact the third party for further details.
Keeping you informed
Our Complaints Manager will acknowledge receipt of your complaint within five business days. If unable to resolve the complaint/dispute to your satisfaction within five business days, they will write to you advising the procedures we will follow in investigating and handling your complaint.
Within 45 calendar days from the date you lodged the complaint with us, we will write to you advising you the outcome of the investigation and the reason/s for our decision, or if required, we will inform you more time is needed to complete the investigation.
If you do not think we have resolved your complaint to your satisfaction, you may take the matter – free of charge – to the relevant External Disputes Resolution Scheme (provided it is within the scheme’s terms of reference) as detailed below. You may also refer the matter to the relevant External Disputes Resolution Scheme at any time, but if our internal process is still in progress, they may request that our internal processes be complete before considering the matter further.
Our external dispute resolution service provider is:
The Australian Financial Complaints Authority (AFCA), which can be contacted via:
Telephone: 1800 931 678 Monday to Friday 9am to 5pm (AEST)
Mail: GPO Box 3 Melbourne VIC 3001
What information do we collect and how do we use it?
As a service provider we are subject to requirements to obtain and hold detailed information, which personally identifies you and/or contains information about you (“personal information”). In addition, to provide you with a comprehensive service we need to obtain certain personal information about you or your clients.
We use personal information only for the purpose of providing you with credit assistance.
We use your information to send you requested product information and promotional material and to enable us to manage your ongoing requirements, e.g. further information regarding specific job and our relationship with you, e.g. invoicing. We may use your information internally to help us improve our services and help resolve any problems.
How do we hold and protect your information?
We keep personal information only for as long as is reasonably necessary for the purpose for which it was collected or to comply with any applicable legal or ethical reporting or document retention requirements.
We have access to the information collected from you using secure external online server facility powered by our software partners. We will strive to maintain the privacy of this data for our part, but we encourage you to ensure you practice the highest level of online security for your personal logins when using these software packages.
We ensure that your information and information you provided to us is safe by limiting access to your personal data to your assistant/bookkeeper and his/her associate as requested. An External Auditor may request access to any of our files for the purpose of a compliance audit by our aggregator or ASIC. Our client files are stored on our own servers, backed up to Dropbox, Salestrekker, lender submission portals and National Mortgage Brokers aggregator systems.
Will we disclose the information we collect to anyone?
We do not sell, trade, or rent your personal or your client personal information to others.
We may disclose to, and obtain from, the following organisations personal information about you to for the purposes described above (as well as otherwise permitted by the Privacy Act): nMB, banks and finance organisations, valuation companies, mortgage insurers, real estate agents, settlement agents, solicitors, information technology companies, loan processors, bookkeepers, compliance auditors and mailing organisations.
We may provide your information to others if we are required to do so by law or under some unusual other circumstances which the Privacy Act permits.
Disclosures to overseas recipients
Some of the recipients to whom we may be required to disclose your personal information are based overseas. It is not practicable to list every country in which such recipients are located but it is likely that such countries will include the United States of America, United Kingdom, New Zealand, Indonesia and Serbia.
How can you check, update or change the information we are holding?
By calling the contacts listed in this document and providing enough information to allow us to identify you, we will disclose to you the personal information we hold about you. We will also correct, amend or delete any personal information that we agree is inaccurate.
You may complain to us about a breach of the Australian Privacy Principles by writing to our address listed on our website. We will review your complaint and notify you within 48 hours of outcomes of such review.
If you are a customer or a potential customer, from time to time we may contact you with information about products and services offered by us, which we think may be of interest to you. When we contact you it may be by mail, telephone, email or SMS.
You may opt-out of receiving promotional communications from us by using the unsubscribe link within each email or emailing us to have your contact information removed from our promotional email list or registration database. Although opt-out requests are usually processed immediately, please allow ten (10) business days for a removal request to be processed. Even after you opt-out from receiving promotional messages from us, you will continue to receive messages from us regarding our services.
I/We in agreeing with the terms in our credit guide and privacy disclosure, request the commencement of credit services. I/we consent to the collection, use and disclosures to personal information provided for the purposes of providing these services as requested.
You can request a copy of this Credit Guide above for your record – Online V3 – 20/09/2020 - Last edited - WM