Question 1

What does a Mortgage Broker do?

Accepted Answer

Mortgage brokers are qualified finance industry professionals. They work with you to determine your borrowing needs and objectives, and to help you determine how much you can borrow.  Brokers help to ensure that you don't take out a loan that is not right for you.
 
Like your solicitor, accountant or financial planner, we are specialists in what we do and will provide you with a suitable finance solution to help you achieve your goals.
 
With a mortgage broker, you can expect a more personalised level of service than you would usually receive directly from a lender.  Additionally, our brokers have access to finance products from a wide variety of lenders.  This means your broker can compare lending products from different lenders to find a loan that's just right for you.
 
Remember at CNA Financial Services, we work for you ... not the bank.

Question 2

Do you charge fees for home and investment loans?

Accepted Answer

Some mortgage brokers charge a fee for their services and some don't.  If they do, they must disclose this fee upfront to you so that you know what it will cost if you engage their services.  When you take out a loan via a mortgage broker, it does not cost you more in loan repayments.  Brokers get paid a commission by the lender for bringing new business to them, but this does not impact your interest rate.
 
Here at CNA Financial Services, we do not charge you a fee for our service.

Question 3

Don't you just recommend the lender who pays you the most commission?

Accepted Answer

Absolutely not.  First of all, there is very little difference between the commissions paid by the various lenders.  There is also legislation in our industry called the National Consumer Credit Protection Act (or NCCP), that is designed to protect consumers and ensure ethical and professional standards in the finance industry.  We tell you upfront what commission we will be getting from the lender.  Our job, our only job, is to find a competitive loan for your needs and objectives.

Question 4

Isn't it more expensive to use a Broker?

Accepted Answer

Some brokers charge a fee for their service which they must disclose to you up-front before you engage their services.  However, the costs of the loan are the same.  These costs depend on the loan and he lender you choose.  If you want to save on loan costs, just tell us.  We can locate loan products from the lenders with the lowest fees and charges.
 
As a professional Mortgage Broker, we have access to various lenders and are able to source discounted rates and loan products that suit you.

Question 5

How much can I borrow?

Accepted Answer

There are specific factors that need to be considered when determining how much a customer can borrow, such as income, employment position, the deposit saved, current living expenses and any liabilities.  Our borrowing calculator can give you a rough idea of how much you may be able to borrow.  For a more accurate assessment, please give us a call and we can go into your options and discuss your circumstances in more detail.

Question 6

Should I go fixed or variable?

Accepted Answer

We will recommend a product based on what you say is most important to you - for example, "pay my loan off quickly" or "guaranteed repayments" or "low cost".  We do however, live by the following; "if you want flexibility take a variable rate loan, if you want budget certainty, take a fixed rate loan, if you want both, then do a split loan."

Question 7

I am not in your area, can we still work together?"

Accepted Answer

Sure thing!  We are mobile brokers so we can meet at a time and place that best suits you.

Question 8

Do you work after hours and weekends?

Accepted Answer

We can meet at a time and place convenient to you.  We can meet you after work or weekends, your house or a local coffee shop, whatever suits you best.

Question 9

Which lenders do you deal with?

Accepted Answer

We are Connective Brokers and we have access to many lenders.  This means we can source you a loan from different lenders to provide you with a variety of options that are suitable for you and your situation.

Question 10

Who sets interest rates?

Accepted Answer

The Reserve Bank of Australia meet on the first Tuesday of every month to determine the official cash rate for the country.  The lenders then use this information to set their own rates.  Lenders also adjust their rates according to their costs and other economic considerations.  Mortgage brokers do not set rates.

Question 11

Why should I use a Mortgage Broker if I can go with a bank?

Accepted Answer

Lenders will only sell you their own products.  Each bank (or lender) has a variety of loan products on offer - low doc, package loans, loans with re-draw facilities, plant and equipment loans, fixed rate loans, interest only, interest in advance, variable, introductory variable ... and so on.  The issue you face as a consumer is 'which loan is right for me?'  And that is where your mortgage broker becomes an invaluable resource!  If you go direct to the bank, you will only be offered the loan options available through that one lender.  As your mortgage broker, we do all the leg work to find the right loan for your needs.  We are across many lenders and all of their loan products, and our sole purpose is to find a suitable loan to match your personal financial circumstances and goals.

0498 224 905

Frequently asked questions