Risk and Compliance Recap - May 2021
- Property investment policy updated to be clear that brokers cannot receive a referral fee or similar financial benefit for the referral of a buyer to any real estate or property investment group
- Accreditations a reminder if a broker identifies a product that they believe is in their client’s best interests that they aren’t accredited with they must obtain that accreditation or refer the client to another broker who has that accreditation.
- Serviceability calculator - Remember a serviceability calculator (either Loan Market or lender) must be held within MyCRM prior to lodging a loan application. This is important to confirm that the borrowing capacity and servicing requirements have been met and align to the client’s best interests.
- If there are any differences in financial information between the serviceability calculator and ApplyOnline, a note must be left to explain the reason i.e. submitted loan application and overtime income was not required to service the loan.
Notes Notes Notes!
Recent common complaints trends include:
- Lack of communication between brokers and clients.
- Turnaround times (due to lender SLAs)
It is important to provide updates to your clients, keep them informed with their loan process. If there is a delay in their loan process from lenders, keep them informed.
Good notes on what you discussed with clients will save you when a complaint knocks at your door.
How many forms of ID do I need to collect?
You need to collect two forms of clear and legible identification for all applicants. Click here to see the possible ID combinations.
Do I need to collect ID for Guarantors?
Currently Loan Market does not enforce the collection of ID for Guarantors. However, most lenders will require brokers to obtain guarantor’s identification.
Do I need to certify the ID?
If you don't sight the ID, then it will need to be certified by a JP or Australia Post. If you sight the original ID by video or in person, you don't need to certify the ID. You will still need to adhere to the lender’s policy.
Does Loan Market accept digital Driver’s Licences?
No, unfortunately Loan Market does not accept digital Driver’s Licences as acceptable ID. We will take this into consideration when we review our ID requirements.
Can a CSM verify ID?
No, verification of ID must be performed by a broker.