True Story:
12 years ago I got a loan with NAB. Five years later, a snippet in a newspaper caught my eye, about someone on a “professional package” with NAB who got a 0.5% discount. [remember, this was before such things were widely known about]
I went in to see NAB, asked if I qualified (I was a computer programmer then) and they said “Certainly, Mr Hugen!”. Then I asked them why they hadn’t offered me this before, as I’d been with them for 5 years already. The answer: “Not our policy.”
Believe me, this sort of crap still happens! A couple of months ago, someone told me of a friend who had a loan approved by one of the big 4 at “standard” rates. Luckily, that person mentioned it to a broker, who promptly advised them to go back to the bank and demand a “pro package” – that is, a discount. And of course they got it – they were borrowing $400k!
For heavens sake, don’t trust a bank! Ask a broker even if you still prefer to go direct to the bank. Most brokers will be happy to provide helpful info even when they know they’re not going to get your business. Hopefully you’ll refer them to others anyway!
Max Hugen [email protected]
Alpha Financial
Residential & Commercial Loans
http://www.alphafinancial.com.au
02 9560 3061Valid points Max,
And all too often I have seen lenders placing clients with an inappropriate loan product for their particular situation,Regards
Steven
Mortgage Broker[email protected]
http://www.mobilemortgagemarket.com.au
Ph:1800 820 500
VICTORIAPLEASE note comments made should NOT be taken as specific taxation, financial, legal or investment advice. Please seek professional, specific advice.
No surprise really.
Banks are in the business of making money for themselves and their shareholders(sometimes). Unfortunately they have forgotten the little people who helped them get there.
They have no reason to offer the discounted packages straight up unless asked for. Better to keep it in the vault for when the customer is thinking of leaving.
And how do they apply this strategy? Pay your staff 29k a year, get them to deal with the public, and the dollars keep rolling in.
I still have nightmares from the CBA!
Brendon
Acute Mortgage Reductions
http://www.acutemr.com.au
[email protected]I worked for a bank (before I saw the light) and it was part of our job to match our customers with the correct “product”. Lending has always been separate part of the business. Infact it is their main business.
While I started they appeared to realise the true income potential of credit cards, so we had to push them, :”personalloan for $7K. WHy waste your time. Get a credit card and you have a continuous Personal Loan for $7K” and so-on.
Having said that, we as tellers did realy try to get the best service for our customers.Cheers
C@34
Ah yes, BANKS…..[laugh4]
I used to think once that banks ALWAYS got it RIGHT!!! What rubbish!!!!
Thinking they were infalable, and because my (now ex-husband) was the State Manager for one such large corporation, I felt that they knew their stuff…..how wrong I was!!!!
The one and only time I ever got a (bridging) loan from a bank, ofcourse it (the loan) had to be secured so I handed over the title of one of my IPs….when I paid out the loan, I nearly died of shock….not only had they LOST THE TITLE but they had NO RECORD of me ever having borrowed the money!!!!! [shocked]….But oh the headaches it caused!!!! [bawl]Go figure……..[glum2]
Jo
I just realised, this is my 500th post, and of all the topics to talk/post about it had to be on the fun associated with banking!!!! [juggle]
[blink]
My in-laws told us about the NAB’s pro thingy. She is a very qualified and high ranking nurse and she questioned the wording that the pro products were available to ppl with university degrees and it did not include nurses.Being the forceful person she is, she pointed out that the nursing profession is one studied at university and seeing the products are offered to “Professionals” there shouldn’t be a problem. THey let her have that particular loan.
SHe told me about it and said for me to force the issue as their wording of “Professionals” didn’t include nurses or teachers. Funnily enough, it includes university lecturers but not normal teachers… Ho hum…[confused2]
Success is 1% inspiration and 99% perspiration.
Most professional packages have conditions attached. Like the Westpac 300 a year fee, but then you get so many free transactions per month and you can get a discount.
DO you know that for some, .5 or .6% is often a lot less than they can offer? Yep Try around .9
I was offered the package because ….well any reason will do right? However most professional bodies, unions, organisations etc get or can get you discount rates without any professional packages.
AS for asset retention, hey why not? They want as much as you are going to give them! They don’t need that much. Tell them you will go elsewhere. But watch sometimes it can back fire.
Cheers
Elves
” a blind man may see what a sighted man may not”
Originally posted by Scremin:[blink]
SHe told me about it and said for me to force the issue as their wording of “Professionals” didn’t include nurses or teachers. Funnily enough, it includes university lecturers but not normal teachers… Ho hum…[confused2]Hi Scremin,
The cynic in me thinks ‘use whatever reason you can to put customer outside the guidelines so they will go away’ because as Rob said – the key (only?) points are income levels and borrowings.
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping. PM welcome.
Pro packs used to be targetted at professionals – whatever the different bank’sdefinition of that was!
Banks didn’t advertise them as they preferred not to give the discount if they didn’t need to. They were used to attract high quality borrowers.
Brokers became very active at selling them and passing the benefits onto anyone that qualified. This has caused a major paradigm shift within the industry and all references to profession and income levels have since been removed.
Today they are purely based on loan size.
Thank the brokers for this one folks!!
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
When I enquired about the NAB pro package a few years ago, it was 0.5% lower interest rate and had no establishment fee, but it did have quite a high monthly fee (can’t remember what it was now).
But as I didn’t proceed with the loan, I didn’t bother to figure out how much difference it made relative to their other loans.
GP
Originally posted by MortgageHunter:Brokers became very active at selling them and passing the benefits onto anyone that qualified. This has caused a major paradigm shift within the industry and all references to profession and income levels have since been removed.
Thank the brokers for this one folks!!
Hi Simon,
Geez – you brokers are making a mess of the ‘banking world’ as we once knew it. [biggrin]
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping. PM welcome.
I would love the email address or phone number, of a broker, who was willing to give an opinion, even if you are going directly with the banks. I find brokers only willing to handle customers with the same approach in mind as the banks – $$$ and a sure deal. Know any?
I know one [blush2]
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by jars11:I would love the email address or phone number, of a broker, who was willing to give an opinion, even if you are going directly with the banks. I find brokers only willing to handle customers with the same approach in mind as the banks – $$$ and a sure deal. Know any?
Hi Jars,
My contact details are below,
Regards Steven
Mortgage Broker[email protected]
http://www.mobilemortgagemarket.com.au
Ph:1800 820 500
VICTORIAPLEASE note comments made should NOT be taken as specific taxation, financial, legal or investment advice. Please seek professional, specific advice.
The regular brokers in here give obligation free advice in here every day.
I doubt any of them would have any problem answering any specific questions or giving general advice.
All the best for your investing endeavours!
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
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