AMP cancels Low Doc discounts

AMP is the third lender that will no longer give discounted rates for Low Doc rates - the AMP change is effective 28 July.

St George has increased Low Doc rates by 0.35% already last month.

Batten down the hedges for all Low Doc clients out there; I think others will follow soon.
 
Last edited:
Yep, ANZ removed discounts for their 60-80% Lo-Docs early in May for new apps. I wondered how long it would take for the sheep to follow.
 
hi all
I think that alot of people are looking to much at the local market and not seeing the forest.
in asia and euro no doc and non recoarse is not unusual its the norm.
and you have these groups looking at the market.
sorry to say but if brokers here keep saying one thing and the market is very different its simply that they just dont understand there market or they have been to many banks spin doctors.and to say that lenders are no longer doing no doc is simply not true.
and I am not going to have a 14 page post on no doc lending.
all lenders will do no doc lending the issue is not no doc its why you want to do it.
I think that you will see alot of changes within 6 months for lending here and I would love to ride that wave.
and for those that want to have a look keep an eye on bendigo, bank of qld and these samller banks
even bank of adelaide.
oh and I have not borrowed from amp nor would I
but thats just me
 
Hiya Gross

Strong statement that.

I cant speak for Asian markets, but in European markets No doc lending is definately not the NORM.

True Asset lends, ie NO doc, that being NO declaration of income, assets or liabilities, while still available in Australia, has been the primary domain of the securitised lenders, with only one or two "banks" wanting to look at the risk in the past

ABL and Bendigo ( now know as Been delayed) already do lo doc lending as does just about every lender, such as BOQ, CBA, NAB, STG, WBC etc etc

ta
rolf
 
Grossrealisation

are we in commerical or resi or mixed funding discussions as you're sweeping with a pretty broad broom.

the "normal" s/soft resi investors they simply cant go into a cba or anz and get a no doc - we'er not saying low doc but no doc - 2 different loan types here.

and for that matter they cant with a lotta other lenders as well.

So I think you do need to be a lot more clear as your statement is ambiguious
 
hi all
lo doc and no doc and non recoarse lending is not something that has been developed by this market.
and its it is the norm in europe not sure a couple here understanding of european lending.
for most of euorpean banks non recoarse for corporate is not ususual its the norm.
no as for no doc sorry you can go to anz
you just have to present correct.
just because you have not done it does not mean its not possible
I know that you can do no doc lending with anz
its just depends how you go up the ladder.
and there are not alot of lenders here they will not do no doc lending.
the problem is that you need to explain why you want it.
but thats another story.
I think that alot understand maybe a part of there market but really don't understand lending and the lending in this market is not the same as in the area.
there are alot of other types of lending thats not even in this market and they are also the norm and to say that non recoase lending is not the norm for euro banks and even asia banks is simply not true.
I can accept that people need to learn but the first thing to learn is that
your market is not the only market.
and yes I borrow in this market under this markets criteria but its not the best and there are hell of a lot better.
and to say that its not available here is simply wrong
why
because it is
I will watch with interest the movement in this market and I think we will see a very big shift not sure who or how it will turn out
 
Hiya Gross

I think you have a great opportunity to make many dollars very quickly.

Im sure there are other brokers that would gladly pay lots and lots to be shown how to get an non recourse no doc ma an pa investment ( or ppor loan) through ANZ resi lending at 70 to 80 % LVR and at sub 9 % rates with present correct.

Balls are in your court Gross......

ta
rolf
 
I'd be very interested in how ANZ process No-Doc loans for the average Joe also. I worked for them for around 16-17 years and never came across it. I'm assuming that this would only be possible with a Private Banker or RM with their own CAD who is going outside ANZ's lending policies.

Anyway, how does this have anything to do with the thread as I thought we were discussing interest rate discounts on Lo-Doc loans? I'd be suprised if Gross beleived that other lenders won't follow suit in the near future. Lenders at present are taking the opportunity of the sub-prime crisis to tighten their purse strings by any means. I for one don't beleive the rush will be on to reverse this trend once things have settled.



PS......I'm not having a go at Gross as I enjoying reading other opinions as it can only be an opportunity to broaden ones way of looking at things.
 
Hi Gross,
I come from Europe and do have IPs in Europe and I can assure you that No Doc loans are NOT available at all for standard residential lending.

As a matter of fact, usually you are restricted to P&I and a max LVR of 70% (that is at least mainly true for countries such as Germany, Switzerland, Austria, Italy and Spain).

Of course there are always exceptions - but I think - to be fair to the average investor her in Australia - we should stick to the norm.
 
Must admit in the 80's in the UK Nodoc / lodoc lending was all the rage.

One of the big Canadian Banks used to offer a complete Nodoc loan with no income, asset or CRAA verification. Other European Banks such as BNP, Duetche Bank then followed until prices in the UK fell and they fled in their droves.

Hate to disagree with Gross but this style of risk lending is certainly not the norm. Whilst in the UK at the moment their is significantly more competition than we have in Oz there is still a limited number of specialised lenders offering such a product.
 
I'd be very interested in how ANZ process No-Doc loans for the average Joe also. I worked for them for around 16-17 years and never came across it. I'm assuming that this would only be possible with a Private Banker or RM with their own CAD who is going outside ANZ's lending policies.

Anyway, how does this have anything to do with the thread as I thought we were discussing interest rate discounts on Lo-Doc loans? I'd be suprised if Gross beleived that other lenders won't follow suit in the near future. Lenders at present are taking the opportunity of the sub-prime crisis to tighten their purse strings by any means. I for one don't beleive the rush will be on to reverse this trend once things have settled.



PS......I'm not having a go at Gross as I enjoying reading other opinions as it can only be an opportunity to broaden ones way of looking at things.


Yes quite agree with you. The follies of low and no doc lending has had its cycle. In order for securitisation to work again in the future, i think lenders will revert to the more traditional 20% deposit required.
 
Top