Brokers that refund trail commission
- Thread starter Xap
- Start date
Hi CJay, what distinction do you draw between trail on loans and trail on Managed Funds?
No. It's not.
The opposite can often be the case. I know I've arranged lower rates for clients than they've been able to arrange with their banks when going direct.
CJ's previous post explains the concept of the broker distribution model and why banks pay a trail commission to brokers. It's not built into the borrowers loan repayments - and any borrower that's used a broker knows that.
Cheers
Jamie
My broker did this.
I'm on a 1.05% discount with major bank, their staff rate is less than that, they match, genuine under the counter offers in writing and discount from time to time under there staff rate,usually bom the last few year
Brokers provide a fantastic service to clients, if your interested in saving cash go to u bank or one of those pi$$y lenders don't complain though when your tax is fu xxxed and you can't borrow anymore or your settlement delayed, ring the answering machine service.
Also, i bought land from a liquidator, unconditional 14 day settlement, gave it to my broker, he made this bank settle in 10 days from the day I signed contracts. How good is that, on the above discount. Do u get that with u bank, or going to the bank yourself.i think not. Paying whatever trail from a 1.05% discount is nothing to me! for that service
Horses for courses, every loan I do going fwd will be through my broker, simple as that.
That's my experience with my broker, he's not a poster on this forum, but I'm sure the gents who post are just as good and motivated,thats what it comes down to,motivation and love of the job, if these gents didn't like what they did, they wouldn't be here after hours and weekends posting.
Rant over
I'm on a 1.05% discount with major bank, their staff rate is less than that, they match, genuine under the counter offers in writing and discount from time to time under there staff rate,usually bom the last few year
Brokers provide a fantastic service to clients, if your interested in saving cash go to u bank or one of those pi$$y lenders don't complain though when your tax is fu xxxed and you can't borrow anymore or your settlement delayed, ring the answering machine service.
Also, i bought land from a liquidator, unconditional 14 day settlement, gave it to my broker, he made this bank settle in 10 days from the day I signed contracts. How good is that, on the above discount. Do u get that with u bank, or going to the bank yourself.i think not. Paying whatever trail from a 1.05% discount is nothing to me! for that service
Horses for courses, every loan I do going fwd will be through my broker, simple as that.
That's my experience with my broker, he's not a poster on this forum, but I'm sure the gents who post are just as good and motivated,thats what it comes down to,motivation and love of the job, if these gents didn't like what they did, they wouldn't be here after hours and weekends posting.
Rant over
At the end of the day any cost associated with a loan is built in to the rate. Brochures, bank staff, bank toilet paper, etc.
But going direct to a bank is not going to result in a lower interest than compared to a broker. Brokers can often get you greater savings and structure your loans better.
Any broker that refunds commissions is not worth using in my opinion.
But going direct to a bank is not going to result in a lower interest than compared to a broker. Brokers can often get you greater savings and structure your loans better.
Any broker that refunds commissions is not worth using in my opinion.
I guarantee you it happens all the time.
Sounds like you have had bad experience with banker before, dowdy surprise me. Tree would be just as many who have had complaints with brokers. You're very quick to say brokers yes and bankers no, I keep saying it on this forum it has nothing to do with who thy are paid from if they're a broker or banker, you need someone who you can trust to get you the finance and set the loan up correctly.
You sound like you have done that with the current broker you're using which is excellent.
As for the time frame not happening with a banker, I don't believe that a broker can't get any loans quicker through my employer then I can. Yes I understand that a broker can offer different banks with different policies.
Is it just me or has anyone else noticed that this is pretty much the one and only thread on here where no one has fallen over themselves to recommend to the OP to seek the services of any of the many excellent mortgage brokers on here?
OP - you can interpret how you wish...
OP - you can interpret how you wish...
I guarantee, you have no idea on what you are on about
Why is that? You seem to acknowledge at post 36 that it happens as Aaron also acknowledged.
It is a ludicrous contention that if we were to see a listing of the banks loan book in order of interest rate discount, that there would be no direct bank client ahead of a broker client. As I said, I can guarantee you it isn't the case.
I'm not saying that brokers don't provide a good service. Of course they do. And in many cases they will negotiate a better rate than a punter going it alone. But the comment was made that you can not do better in terms of rate than by going with a broker. It is just plain wrong and misleading.
Sorry, you have misunderstood. But I can see how you may have concluded that. I should have said "regularly" or "often".
The categoric statement was made that it couldn't be done, which isn't true. It happens all the time - meaning often/regularly - not every time.
Do you disagree with that statement.
Do not disagree with that.
However if a branch ever undercuts a loan that we have already secured pricing on, and there is "proof" of the rate being offered, a quick call to the BDM will have the rate matched instantly.
As harsh as this may sound, the banks will always prefer to keep a broker onside, may come to a shock to some, but we are valued a lot more highly than a customer with one or two million in lending.
The last section of this post is a direct dig at the OP
However if a branch ever undercuts a loan that we have already secured pricing on, and there is "proof" of the rate being offered, a quick call to the BDM will have the rate matched instantly.
As harsh as this may sound, the banks will always prefer to keep a broker onside, may come to a shock to some, but we are valued a lot more highly than a customer with one or two million in lending.
The last section of this post is a direct dig at the OP
