Broker vs Bank. What's the difference?

When it comes to deciding if you’ll use a broker or go direct to your bank for your next refinance, investment property or car loan, it’s important to know what each can offer.

Product choice

As you’d expect of any business, a bank will only promote its products, which can limit your options. But with access to a panel of over 45 banks and boutique lenders and thousands of products, I make the bank or lender work hard for you. I can potentially save you thousands in interest and, if your situation is unusual or tricky, there’s still a chance I can find a lender who’ll cater to your situation.

Understanding different loan criteria

A broker can understand multiple banks and lenders application criteria for different loan products which can potentially speed up the application process. If you were applying directly through a bank, you may research different options, apply for a loan and then potentially realise it’s not going to happen which can be frustrating. A bank has set criteria for its products which are hard to change if your circumstances don’t quite fit.

The cost

There is no cost to you for my services as I’m paid by the lender you choose. You get all the benefits, without the cost.* Banks usually don’t charge an additional service cost either, but their knowledge is limited to their range of products only and you may have to deal with multiple staff members throughout your application which can be frustrating.

And once the loan is set up…

I check in yearly to make sure your loan still suits your individual needs. If not, I’ll move you to one that does. Banks usually do not look at your loan on an individual basis regularly or let you know if you could be saving if you moved products. It’s up to you to keep a close watch on your loan.

If you want to know more about how I can help, drop me a line.

*There may be occasions where you may be charged a fee by your broker. Terms, conditions and normal lending criteria apply.