Bankwest Insurer

[vanessa90]

Hi,
We have 4 weeks left to settle on a property we had to waive the cooling off due to the very competitive market. Yesterday
we got the news that while bankwest approved our loan (they even called earlier to organise cards for our account), their insurer didn't because of the number of loans already in this suburb... I think our broker has applied for another loan, liberty, which I have just read the bad feedback. I understand that it was risky going unconditional, any advice?
Thank you

 

[Terry_w]

A very strange reason. I have never heard of that happening before.

Also strange to go from Bankwest to Liberty. I suspect there is more involved.

 

[Corey Batt]

Going from a lender which is only useful in very specific niche areas, to a lender which is known more for their products which assist subprime clients - what's the broker not saying?

Something doesn't add up, and a very odd excuse from the insurer.

 

[Jamie M]

Hi Vanessa

Sounds a bit bizarre. I can't understand the leap from BWA to Liberty as per CJ's comment.

Is it a unit in a high density area? That might explain why QBE (the LMI provider) isn't keen on extending their exposure within that market.

Either way - you can't go back to a QBE backed lender for this deal.

Depending on the parameters (I don't know what your broker is working with) I'd be looking at using a lender with authority to approve LMI in-house (with Genworth).

Cheers

Jamie

 

[Marty McDonald]

95% + full cap? Is that why going with Liberty now BW declined? Don't believe the suburb call either sounds like pre approval (worthless with them) then declined credit score when real deal. But who knows with F' ing Bankwest unconscionable that they are constantly doing this regardless of the reason.

 

[vanessa90]

Yes it was for 95%. What lenders are backed by Genworth and also quick? I really don't want to go with Liberty. I read that if a loan is rejected that it counts as a credit enquiry and reduces the chance of approval. Would this situation count?

 

[Marty McDonald]

Try and get a second opinion before applying to Liberty. There may be a valid reason for them to be chosen as the best option but it's hard to say without knowing the full situation.

 

[Rolf Latham]

Hi,
We have 4 weeks left to settle on a property we had to waive the cooling off due to the very competitive market.

Im not going to b helpful to you Vanessa, but hopefully anyone else that reads this thread.

The advice presented by the others will likely help you.

95 % lend, and you waived your cooling off............... where was your solicitor and broker on this one ? , I hope the deposit is only the 25 and not a full on 66 w 5 %or 10 %



ta
rolf

 

[Mick C]

Sounds like the building is over insured ...typical in areas such as Strathfield/ Homebush/ City CBD/ Macqaurie park etc...

Doesn't make sense to go from BW to Liberty...very strange choice indeed.

Let us know how you go.

 

[Mick C]

Yes it was for 95%. What lenders are backed by Genworth and also quick? I really don't want to go with Liberty. I read that if a loan is rejected that it counts as a credit enquiry and reduces the chance of approval. Would this situation count?

Yep...if you get a liberty rejection...it will be much harder to get a 3rd approval, esp if you gone to liberty.

Dont get me wrong, our office writes a few bit of liberty deals so as mentioned there might be valid reason to choose liberty- but if it's purely based on LMI rejecting because of the suburb/area/property than def not a liberty deal.

Is it 95% + LMI? ( Sounds like it given the BW and liberty choice)..if it's + Full LMI capped - going to unconditionally is extremely risky.

 

[vanessa90]

Yes it is 95% + LMI fully capped. So liberty and bw are the only ones doing this? Lesson learnt, I thought there were many lenders offering 95% but was not aware that only a few offer LMI fully capped. We have quite high income with no credit cards, the only thing was the low savings which we thought the 5% was sufficient. Will let you know the outcome.

By the way, if liberty do accept and we have time would we be able to still apply for another loan with a different lender?

Also is liberty THAT bad?

Thank you.

 

[Mick C]

Yes it is 95% + LMI fully capped. So liberty and bw are the only ones doing this? Lesson learnt, I thought there were many lenders offering 95% but was not aware that only a few offer LMI fully capped. We have quite high income with no credit cards, the only thing was the low savings which we thought the 5% was sufficient. Will let you know the outcome.

There's a few more but BW and liberty are the most common one as they advise this as their niche.

By the way, if liberty do accept and we have time would we be able to still apply for another loan with a different lender?
.

^ You have time...but i would advise against it...if Liberty approves- take it and settle!

Also is liberty THAT bad?

They ok, not a "bad lender" as such...it's just that if BW says no to a 95% + LMI you just wont go to liberty that's all lol

Is the loan amount under $500k? if so than it may make sense why liberty was chosen as they have their own "risk fee and LMI" which they can approve in house if it's under 500