Your Guide to Adelaide Bank

Transcription

1 Your Guide to Adelaide Bank

2 Your Guide to Adelaide Bank Why Adelaide Bank? 3 Lending policy 7 A streamlined approach 3 Submitting a loan application 8 Who are our loans for? 4 Tips for speedy loan approval 9 Our home loans explained 4 Compare our home loans 10 SmartFit (variable rate) 4 SmartFix (fixed rate) 4 SmartSaver (variable rate) 5 SmartSaver Fixed (fixed rate) 5 SmartDoc (low doc) 5 SmartDoc Plus (low doc) 5 Key features 6 Redraw 6 Mortgage reduction 6 100% offset 6 Go-Between 6 Construction 6 Other products 7 Deposit accounts 7 Insurance 7 Credit Cards 7

3 Why Adelaide Bank? Because we understand that your customer s home loan is more than just another mortgage. It s your hard work, your time, and your reputation. A streamlined approach Adelaide Bank offers a streamlined approach to home lending that appeals to a broad range of customers. Whether your customer is buying a home, or an investment property, or refinancing an existing debt, we have a product to suit their individual needs. But it s also how we connect with you, and how we treat you. How we listen to you and understand what you need. We take you and your business, personally. SmartFit a competitive variable rate with 100% offset You see, we ve been delivering prosperity and homeownership to generations of Australians for over 150 years. SmartFix a choice between 1-5 year fixed terms with 100% offset Our product offering is simple, reliable, and good value. Our service is exceptional, award winning, and personal. SmartSaver a basic home loan with a competitive variable rate Above all, we believe everyone has a right to own their own home. Which is why we specialise in delivering affordable home lending solutions for all. SmartSaver Fixed a basic home loan with a competitive fixed rate It s personal. SmartDoc (low doc) choose between a variable or fixed rate with 100% offset, supporting evidence of income not required SmartDoc Plus (low doc) a variable rate with 100% offset (available for loans with an LVR of 60-70% with no LMI only), supporting evidence of income not required Your Guide to Adelaide Bank 3

4 Who are our loans for? Our home loans explained Applicant type Loan purpose Other criteria Available for individuals and joint borrowers. (Not available for companies or trusts, self employed less than 2 years, family pledge, overseas, or non-permanent Australian resident applicants.) Our home loans can be used to: Purchase an owner occupied or investment property Refinance an existing mortgage Consolidate debts Extract equity Building loans with progress payments (excluding owner or related party builder) Provide an alternative to a pro-pack Buy a new home before selling an existing home (Go-Between bridging finance) Maximum of 3 securities per application No second mortgages No credit defaults (SmartDoc and SmartDoc Plus) (Consideration can be given to other proposals which have defaults provided the circumstances have been investigated and the default(s) rectified.) SmartFit (variable rate) SmartFit s variable rate gives your customers the flexibility to take advantage of interest rate decreases as repayments and interest charges change with the market. SmartFit is a fullyfeatured variable home loan that puts your customer in control. Features include: 100% offset account A competitive variable rate Unlimited additional repayments at any time without penalty FREE electronic redraw (minimum $1) Transact on the offset balance (fee free for almost all transaction types) Monthly statements LVRs up to 95% (subject to location and LMI) FREE conversion to a fixed rate at any time SmartFix (fixed rate) A fixed rate gives your customers peace of mind knowing their repayments will not change over the fixed period. SmartFix is a fully-featured fixed rate home loan that puts your customer in control. Features include: 100% offset account Competitive 1-5 year fixed terms FREE rate lock for up to 14 days from full application and up to 90 days from contracts issuing. Additional repayments up to $20,000 p.a. without penalty FREE electronic redraw (minimum $1) Transact on the offset balance (fee free for almost all transaction types) Monthly statements LVRs up to 95% (subject to location and LMI) FREE to re-fix or convert to a SmartFit low rate variable loan Your Guide to Adelaide Bank 4

5 SmartSaver (competitive variable rate) SmartSaver is a basic home loan with a competitive variable rate. It is ideal for budgetconscious borrowers who don t need all the additional features of the SmartFit. Available for the purchase or refinance of an owner occupied or investment property, your customers will benefit from: A great competitive variable rate No monthly administration fees FREE electronic redraw (minimum $1) Unlimited additional repayments at any time without penalty A choice between Principal and Interest and Interest Only repayments LVRs up to 95% (subject to location and LMI) Not available for construction Up to $100,000 cash out available (total borrowings, conditions apply) SmartSaver Fixed (competitive fixed rate) SmartSaver is a basic home loan with a competitive fixed rate. It is ideal for budget-conscious borrowers who don t need all the additional features of the SmartFix. Available for the purchase or refinance of an owner occupied or investment property, your customers will benefit from: A great competitive fixed rate No monthly administration fees FREE electronic redraw (minimum $1) Additional repayments up to $20,000 p.a. without penalty A choice between Principal and Interest and Interest Only repayments LVRs up to 95% (subject to location and LMI) Up to $100,000 cash out available (total borrowings, conditions apply) Not available for construction SmartDoc (low doc) Suitable for self-employed borrowers, SmartDoc is a low documentation loan that does not require your customers to provide supporting evidence of income. SmartDoc provides access to a fully-featured home loan without the usual hassles associated with providing payslips and tax returns. Key benefits include: 100% offset account FREE electronic redraw (minimum $1) Choice of repayment frequency Variable and fixed rates available Transact on the offset balance (fee free for almost all transaction types) Monthly statements LVRs up to 80% (subject to location and LMI) FREE conversion from a SmartDoc variable to fixed rate at any time (convert to a SmartFix rate with proof of income) SmartDoc Plus (low doc) SmartDoc Plus loans do not require your customers to provide supporting evidence of income and do not require LMI to be taken out for higher LVRs. Suitable for self-employed borrowers and customers refinancing from other lenders, SmartDoc Plus provides access to a fully-featured home loan without the usual hassles associated with providing payslips and tax returns. Available for the purchase or refinance of an owner occupied or investment property, SmartDoc Plus offers: 100% offset account Unlimited additional repayments without penalty FREE electronic redraw Choice of repayment frequency A competitive variable rate Transact on the offset balance (fee free for almost all transaction types) Monthly statements LVRs between 60% and 70% without LMI not available for construction Your Guide to Adelaide Bank 5

6 Key features Redraw Whether it s for a holiday, a new car or home renovations, our free electronic redraw facility gives your customers instant access to their additional repayments whenever they need them. Your customers will benefit from: Minimum redraw amount $1 Available 24 hours a day, 7 days a week Available on any owner occupied or investment loan Available on our variable and fixed rate home loans Mortgage reduction The ability to make extra repayments without penalty on a home loan is a much sought after option. Our flexible repayment options can help your customers pay off their home loans sooner and reduce the amount of interest they pay over the life of their loans. These options include: 100% offset, 100% of the time - even with fixed rates (excluding SmartSaver) Weekly, fortnightly or monthly repayment options Unlimited extra repayments on variable rate loans Additional repayments of up to $20,000 p.a. without penalty on fixed rate loans 100% offset Put simply, an offset account is a savings account that offsets the balance in that account against the balance of your customer s home loan. By having their savings in an offset account linked to their mortgage, your customer can reduce the amount of interest they are paying on their home loan. An offset account could potentially take years off a borrower s home loan and save them thousands of dollars in interest over time. Our offset account offers 100% offset, 100% of the time - meaning that 100% of your customer s savings will be reducing their home loan interest every day. For example, if your customer has a home loan balance of $200,000 and has $20,000 in their offset account, they will only be charged interest on $180,000. Our 100% offset account lets your customers see at a glance what they owe and what they own because the offset balance is shown separately. This feature is even available on our SmartFix home loan. We are one of few lenders in the market that offers 100% offset on a fixed rate product. Go-Between A Go-Between loan offers your customer an easy way to purchase a new home before they sell their existing one. Rather than making two sets of loan repayments while they are selling their existing home, no repayments are required on the new home loan during the Go-Between period. (Interest capitalises in this time.) Assessment is based on the end debt amount. The Go-Between is designed to cater for both the peak debt and the end debt, all in the one account. (Not available with SmartSaver.) Your customers will benefit from: LVRs up to 85% for standard loans or 80% for SmartDoc (including capitalised interest) Interest capitalisation for up to 6 months. Construction A construction loan is a user-friendly way for customers to fund the construction of, or major renovations to, a home. Rather than paying for the entire cost of a build prior to construction, the loan is drawn down as each building stage is completed. That means interest is only paid on the amount that has actually been paid to the builder at any time. Typically construction is completed in five stages and progress payments are made at the end of each stage. Construction work must be undertaken by a licensed builder who provides a fixed price contract. (Owner builders and related party builders are unacceptable). The accompanying progress payment schedule must meet building industry standards. Construction Loans cannot be split. Available for SmartFit, SmartFix and SmartDoc Your Guide to Adelaide Bank 6

7 Other products Adelaide Bank offers a competitive range of products, available exclusively for our existing home loan customers. These include transaction accounts, savings accounts, term deposit accounts, credit cards and insurance. Deposit accounts MyEveryday Account this low fee everyday transaction account gives your customer convenient access to their funds anywhere Visa is accepted, including online, overseas or over the phone. MySaver Account accessible primarily online, this at-call deposit account provides a higher interest rate than an everyday transaction account. Money Market Term Deposit Account our term deposits are designed to provide higher interest rates than traditional savings accounts; we offer terms ranging from 30 days to 5 years. Lending policy The following table provides a quick guide to LVR and loan amount. The maximum LVR values according to the loan type, purpose and loan amount are: Loan type or purpose Maximum LVR* Principal and interest 95% Interest only 80% Refinance 90% Investment Principal and Interest 90% ** Debt consolidation 90% Home equity/cash out 90% * LVRs are subject to location and LMI criteria. ** Plus capitalised LMI Insurance Home and Contents Insurance covers your customer s home, garage, any domestic outbuildings and contents for either; damage caused by specific events such as fire, storm, flood, water damage, impact, malicious acts and accidental breakage of glass (Bronze and Silver Home Cover) OR accidental damage (Gold Home Cover). Landlords Insurance, Car Insurance and Travel Insurance are also available. Credit cards Visa your customers will enjoy the convenience of shopping anywhere, anytime with an Adelaide Bank Visa card. They can also maximise the benefits of their offset account by making their purchases through Visa and setting up a monthly sweep to pay it off from their offset account. This can help reduce the amount of interest they are paying on their home loan. Your Guide to Adelaide Bank 7

8 Submitting a loan application Step 1 Completing the Application Form Ensure that you have all supporting documentation in individual files. Ensure that all parties have signed the application where required (including the NCC Purpose Declaration if applicable.) Step 2 Submit Application Log into your CRM system - LoanConnect or Broker Lodgement Centre depending on your submission process Complete all mandatory details and submit, taking note of any red or amber flags Ensure all Responsible Lending questions are completed in full, including itemised living expenses, Interest Only questions You will receive notification of the submission (via and/ or backchannel message through the submission system) Step 3 Uploading supporting documents Log into your CRM system - LoanConnect or Broker Lodgement Centre depending on your submission process Complete all mandatory details and submit, taking note of any red or amber flags Ensure all Responsible Lending questions are completed in full, including itemised living expenses, Interest Only questions You will receive notification of the submission (via and/ or backchannel message through the submission system) Step 4 Assessment Adelaide Bank will contact you if any items are missing any further information is required Any requested items should be uploaded via LoanConnect (unless specified otherwise) Step 5 Approval Adelaide Bank will notify you of Conditional Approval and arrange Valuations & Lender s Mortgage Insurance if required We will also notify you of Formal Approval or if lending criteria have not been met and rework deals with new loan structure or loan amount if possible Step 6 Loan Documentation You will receive notification when the loan documents have been produced, you will also be able to see this status change in LoanConnect Loan documents will be dispatched to the nominated destination on the application. You will also be able to view the Loan Documentation including contract via LoanConnect The customer needs to complete, sign and return the documents in the pre-paid envelope including the FATCA & OECD questions on the Financial Summary. Step 7 Settlement You will receive notification when the loan is ready for settlement, and then settles You will also be able to see this status change in LoanConnect Step 8 Commission Payment Commission payments are arranged within seven days of month-end. Payments will be sent directly to your aggregator who will facilitate payment to you Step 9 Post Settlement Support Your customer will receive an welcome call from Adelaide Bank to ensure that loan settlement is to their satisfaction If you have any questions regarding the loan application process, please contact our friendly Partner Assist team on or partnerassist@adelaidebank.com.au Monday to Friday between 8am and 6.30pm (CST). Your Guide to Adelaide Bank 8

9 Tips for speedy loan approval 1 Include your Broker Code on the application Ensure that a copy of the Net Surplus Calculator is included with your application. Blank out Tax File Numbers. Provide 2 forms of acceptable income documents. These must be less than 60 days old as of the date of formal approval Ensure that all supporting documents contain enough information for us to verify that the documentation belongs to the customer. Remember to include copies of sighted identification documents. Ensure application is signed correctly by all parties. Gain authorisation from the customer for Adelaide Bank to contact their payroll department to verify employment. Instruct the customer to contact their payroll department to expect this call. Your Guide to Adelaide Bank 9

10 Compare our home loans SmartFit and SmartFix SmartSaver and SmartSaver Fixed SmartDoc SmartDoc Plus Key benefits available for a wide variety of purposes principal and interest or interest only repayments transact on your offset balance via Cashcard and electronic banking (fee free for almost all transaction types) competitive variable or fixed rate no monthly administration fee principal and interest or interest only repayments suits self-employed and, in some cases, PAYG borrowers available for a wide variety of purposes principal and interest or interest only repayments transact on your offset balance via Cashcard and electronic banking (fee free for almost all transaction types) suits self-employed and, in some cases, PAYG borrowers no LMI required for up to 70% LVR principal and interest or interest only repayments transact on your offset balance via Cashcard and electronic banking (fee free for almost all transaction types) Owner-occupied Investment Purchase/Refinance Equity Debt consolidation Limits apply Go-Between Min $200 fee applies Min $200 fee applies Application fee $375 $375 $375 $375 Settlement fee $120 $120 $120 $120 Administration fee $15 per month $15 per month $15 per month Interest rate Variable SmartFit Fixed 1-5 year terms SmartFix Variable or Fixed 1-5 year terms Variable or Fixed 1-5 year terms Variable Standard max LVR 95% principal and interest* 80% interest only* 90% Investment Principal and Interest** 95% principal and interest* 80% interest only* 90% Investment Principal and Interest** 80% principal and interest* 80% interest only* 70% principal and interest* 70% interest only* Loan amount Min $10,000 Max varies according to LMI provider Min $10,000 Max varies according to LMI provider Min $10,000. Max varies according to LMI provider, LVR, employment status and security location Min $10,000. Max varies according to LMI provider, LVR, employment status and security location Loan term 5 to 30 years 5 to 30 years 5 to 30 years 5 to 30 years 100% offset Construction Building loan fee $400 Building loan fee $400 Repayment options Principal and interest interest only Principal and interest interest only Principal and interest interest only Principal and interest interest only Extra repayments Max $20,000 p.a. (fixed) Max $20,000 p.a. (fixed) Max $20,000 p.a. (fixed) Statements Monthly Half yearly Monthly Monthly Repayment frequency Weekly, fortnightly or monthly Weekly, fortnightly or monthly Weekly, fortnightly or monthly Weekly, fortnightly or monthly Redraw Min $1 Min $1 Min $1 Min $1 Split loans $100 per split $100 per split $100 per split $100 per split Break costs 1 Fixed rate break costs - economic loss adjustment Fixed rates Variable rate fixed rates variable rates Fixed rates Variable rate * Subject to LMI acceptability, location and loan purpose. ** Plus capitalised LMI 1 May be applicable depending on age of loan and the terms. Adelaide Bank is a Division of Bendigo and Adelaide Bank Limited, ABN AFSL and Australian Credit Licence GPO Box 1048, Adelaide SA 5001, adelaidebank.com.au. Information correct and effective as at 15 August 2018 and is subject to change. Adelaide Bank lending criteria, terms, conditions, fees and charges apply. Full details of terms & conditions available on application. BEN50ABPG019 ( ) (08/18)