Weekly wrap - Friday 16th April
This week, we explore common challenges our support team are confronted with, and top tips to help make sure showstoppers don’t happen to your loan application!
They are ranging from three to four days to four weeks at different banks. Lender’s workloads and volumes of applications at the moment are just phenomenal.
A big part of our research process is to help identify undisclosed debts. It is extremely important to make sure you do disclose all of your credit cards now that we have open banking. The banks can see this: it is on your Equifax report. It is important to tell us, so that we pass all the details to the banks. Think old credit cards that haven’t been used, or a credit card that you have a limit for, but you never touch it. In thinking that it's not important, these will have an effect on your application! And it can take up to 14 business days to get those old debts closed.
Supplying supporting documents
We have checklists we have to follow. And what we send in is what the bank requests. So if you're not sending in the documents, we will get ‘showstoppers’ on our deals and banks will come back to request these documents. If you've got an existing car loan, for example, banks will want the original car loan contract to confirm the interest rate, the term remaining, the repayment schedule, as well as six months worth of statements to confirm a running balance and claim conduct. We don't enjoy needing to get the amount of paperwork we do, but we can't start the work until we have the documents.
We know it takes time to gather those documents, so we've got some awesome programs in place. We use Bankstatements and FileInvite, which help you to speed up being able to get those documents back, saving you a tonne of time. Instead of scanning, printing, email and cut/paste, you're able to drag and drop these all into a secure document collection as a portal.
And while it does take time to gather all this information, once we've gone through it with you once, it is stored. Therefore, for repeat customers, we're just going back over that information in a digital space. So it's more of an update than starting from scratch. So there's lots of benefits in the digital world.
Everyone has their lazy signature. The one they just sign off on as they go. But we deal with legal documents where banks require the signature that matches your driver's license on the application, and then going forward, on your loan documents and mortgages as well. If not, it will put a ‘showstopper’ on your application. It won't move forward to credit assessment and it will put a showstopper on your loan documents because it looks like someone else has signed your mortgages.
The name must match
The name on the contract also has to match your driver's license. That's generally the form of identification most people use. If you have a middle name, it has to be included. If you have a hyphen in your name, it has to be included. And then if you have any name changes, we will need evidence of those name changes. If you have bank accounts in old names, maiden names, we'll need marriage certificates, depending on the lender, so just keep that in mind.
In a nutshell, what’s important is to be organised up-front and to disclose debts and make sure we've got all the documents. That’s in your best interest when it comes to turnaround times. And of course we’re here to help, so get in touch!