Coronis Real Estate Agents asking for Veda Check before submitting offers

[DaveM]

So why would you want to jeopardise a buyers finance ability with an additional credit file hit when they would already have the relevant credit checks done by their finance provider.

Coronis is not providing credit so I do not see why you would believe you have the right to ask for a credit file check to be done at all.

All you are doing is weakening a purchasers offer not strengthening it.

 

[EN710]

Ultimately since it doesn't infringe on your credit report anyway, if you have a good credit history you have nothing to worry about. If you do and you're a cash buyer, you can just not to do it. Any situation outside of those two, well you're probably not going to be in the market for a property are you?

I hope that clears things up!

I do have something to worry about. I don't like giving personal details to anyone unless I really need to.

Good credit files doesn't say anything about the buyer except that they might be more likely to have their finance approved. If they buyer already have finance pre-approved. Credit check is really just an additional unnecessary step.

 

[Spectre]

is there a privacy issue here?

If purchasers arent aware / cognizant that they are having credit checks done on them for the provision to the vendor... whether it be a 'good' or 'not so good'...

 

[skater]

To start with, they are not mandatory. Some of our agents strongly encourage buyers to get Veda checks, not so much to weed out "tyre kickers" but more so because it positions the offer much stronger with the vendor. If there are multiple offers on a property, a strong credit file effectively positions you as a cash buyer.

We do not provide a copy, or any specific information, of the credit check to the agent or vendor. We DO provide a copy to the buyer free of charge. The information provided to the agent is a simple "good or not so good" and the way they proceed is up to the discretion of vendor and agent.

As far as having a poor credit file and intending to pay in cash, as I said these are not mandatory so simply mentioning that to the agent would encourage them not to push for getting one.


Ultimately since it doesn't infringe on your credit report anyway, if you have a good credit history you have nothing to worry about. If you do and you're a cash buyer, you can just not to do it. Any situation outside of those two, well you're probably not going to be in the market for a property are you?

I hope that clears things up!

As an investor, I buy and sell properties.

If I was looking to buy something, I would steer clear from your agency, except where there was a potential bargain to be had. I just don't want to leave anything to the chance that someone pushes the wrong buttons and trashes my credit file. It's just not worth it.

If I was looking to sell, again, I would steer clear, because as a seller, I want the best possible price, and I don't want to risk losing a potential purchaser because they don't like your practices.

Now, please don't look at my location and think that my views are irrelevant because I live in NSW, as I own property in QLD, NSW, VIC and SA.

I hope that clears things up!

 

[Coronis]

Hi there Rolf!

I'm more than happy to take your suggestion back to the Director of Financial Services. Could you be specific about which parts of the form you think we should alter?

Thanks!

 

[jerrybee]

No, that doesn't make sense. They still need a mortgage. What's a 'cash buyer'? As opposed to what? They'll do it by barter?

All property is ultimately paid for in cash, but that's not what "cash" means in this context. Yes they may still have a mortgage, but what "cash" means here is that it's been arranged prior (like a LOC drawn from equity), so even though it's still borrowed, it's as good as having a suitcase full of money. It's the ultimate form of pre-approval, if you like, which puts the buyer in a stronger position. Not all money is equal. Fast money has more power.

 

[hugh72]

Why not just preference offers with a stronger deposit during negotiations with multiple interested parties?

 

[Coronis]

So why would you want to jeopardise a buyers finance ability with an additional credit file hit when they would already have the relevant credit checks done by their finance provider.

Coronis is not providing credit so I do not see why you would believe you have the right to ask for a credit file check to be done at all.

All you are doing is weakening a purchasers offer not strengthening it.

In the case of a pre-approval there's no need to conduct a credit check. If anyone has been asked to provide permission for one with a pre-approval, just tell the agent you have pre-approval.

As stated, these credit enquiries aren't going to infringe on your ability to get credit.

I do have something to worry about. I don't like giving personal details to anyone unless I really need to.

Good credit files doesn't say anything about the buyer except that they might be more likely to have their finance approved. If they buyer already have finance pre-approved. Credit check is really just an additional unnecessary step.

Please see the above.

is there a privacy issue here?

If purchasers arent aware / cognizant that they are having credit checks done on them for the provision to the vendor... whether it be a 'good' or 'not so good'...

The information isn't provided to the vendor, it's provided to the agent.

As an investor, I buy and sell properties.

If I was looking to buy something, I would steer clear from your agency, except where there was a potential bargain to be had. I just don't want to leave anything to the chance that someone pushes the wrong buttons and trashes my credit file. It's just not worth it.

If I was looking to sell, again, I would steer clear, because as a seller, I want the best possible price, and I don't want to risk losing a potential purchaser because they don't like your practices.

Now, please don't look at my location and think that my views are irrelevant because I live in NSW, as I own property in QLD, NSW, VIC and SA.

I hope that clears things up!

As I said, it's not mandatory. As a vendor, you can simply tell your agent not to do it. As a buyer, you can simply tell the agent you don't want to do it. No harm done.

 

[D.T.]

Do you even know how credit files work?


Unrelated to this thread, but since you're here
1) How come Coronis sales agents dont respond to buyers calls/emails? I experienced this across multiple suburbs, (logan, northside, some others). If I was on the other side of the table, ie a property vendor selling my property, I wouldn't be happy with potential buyers not being responded to.
2) How come Coronis agents are so shady with property prices. Properties advertised at either "$X" or "Offers over $X" I had offered exactly $X on only to be told they were only accepting $Y. If that's the amount of money expected by the agent/vendor then advertise the property at that.

The above items made me end up excluding any Coronis listed properties on my realestate.com.au searches.

 

[Coronis]

Do you even know how credit files work?

Personally I am not a financial consultant so my knowledge is admittedly limited. I am reiterating what I know. What specifically do you believe I'm wrong about?

 

[DaveM]

To add to DT, I also avoid Coronis for those reasons plus the fact that your agency leaves properties listed months after they are sold without any under contract updates.

Wastes my time and I can only assume its clickbait and/or brand promotion.

 

[citystar]

This is not going to end well.

 

[Peter_Tersteeg]

As stated, these credit enquiries aren't going to infringe on your ability to get credit.

Personally I am not a financial consultant so my knowledge is admittedly limited. I am reiterating what I know. What specifically do you believe I'm wrong about?

Credit enquiries don't infringe on the ability to get credit if the individual orders it themselves through Veda (this costs about $70). This doesn't appear on the credit report.

If organised via a third party who has a subscription with Veda or another reporting agency, the enquiries do appear on their credit report and it will impact a persons ability to obtain credit. We had a loan application declined on Tuesday because the clients had too many enquiries in recent history. It's fixable, but I can assure you that it has a very negative impact.

Time and time again, I've seen people have to accept mortgages from less than ideal lenders because various lenders, mortgage brokers or other finance providers wanted to pre-qualify their credit report before doing the work. This does far more harm than good.

Then there is the issue of privacy. Are you acting for the buyer or the seller? Reassurances aside, there's no way I'd let my financial information be handed over to an agent acting for the seller.

 

[Coronis]

Do you even know how credit files work?


Unrelated to this thread, but since you're here
1) How come Coronis sales agents dont respond to buyers calls/emails? I experienced this across multiple suburbs, (logan, northside, some others). If I was on the other side of the table, ie a property vendor selling my property, I wouldn't be happy with potential buyers not being responded to.
2) How come Coronis agents are so shady with property prices. Properties advertised at either "$X" or "Offers over $X" I had offered exactly $X on only to be told they were only accepting $Y. If that's the amount of money expected by the agent/vendor then advertise the property at that.

The above items made me end up excluding any Coronis listed properties on my realestate.com.au searches.

1. This is definitely unacceptable. If you know specifically of any agents that are doing this please advise so that I can investigate. This is certainly not our business practice and I can appreciate that it's frustrating. I apologise for not being able to explain why, as there is no reason and it shouldn't be happening.

2. I'm afraid I can't speak as to tactics used by salespeople but again this doesn't sound like something that would be a directive. Feel free to email our sales director and ask him directly. I will send you his email via private message.

To add to DT, I also avoid Coronis for those reasons plus the fact that your agency leaves properties listed months after they are sold without any under contract updates.

Wastes my time and I can only assume its clickbait and/or brand promotion.

Again, you'd be best to take your enquiry to our sales director.

 

[Coronis]

Credit enquiries don't infringe on the ability to get credit if the individual orders it themselves through Veda (this costs about $70). This doesn't appear on the credit report.

If organised via a third party who has a subscription with Veda or another reporting agency, the enquiries do appear on their credit report and it will impact a persons ability to obtain credit. We had a loan application declined on Tuesday because the clients had too many enquiries in recent history. It's fixable, but I can assure you that it has a very negative impact.

Then there is the issue of privacy. Are you acting for the buyer or the seller? Reassurances aside, there's no way I'd let my financial information be handed over to an agent acting for the seller.

I can only reiterate what the director of financial services has told me which is that our Veda enquiries do not leave a negative footprint.

 

[Peter_Tersteeg]

I can only reiterate what the director of financial services has told me which is that our Veda enquiries do not leave a negative footprint.

Pick up a file at random and check if the enquiry has left a footprint. Despite introducing positive reporting last year, if it leaves a footprint, it's negative.

Feel free to test my claims by making 4-5 equities on your own file via third party access over the next month or two. Then try to apply for finance with a first tier lender at 90% LVR and see what happens.

Credit files need to be protected. Unnecessary access only hurts peoples ability to obtain legitimate finance. I've seen people have trouble obtaining finance because they simply got one pre-approval after another as their parameters changed. By the time they needed the approval, they couldn't get it. I've seen aggressive investors have finance rejected because they bought numerous properties in quick succession.

 

[Hooray]

And if Coronis states to the buyer that there will be no negative consequences, I wonder when the first law suit will be.

 

[willair]

I can only reiterate what the director of financial services has told me which is that our Veda enquiries do not leave a negative footprint.

Welcome too the site,maybe you can fix it all up by just getting director of FS ,post what they think happens we are all good listeners around here..

 

[HiEquity]

Ultimately since it doesn't infringe on your credit report anyway,

But it does...

if you have a good credit history you have nothing to worry about.

But you do...

If you do and you're a cash buyer, you can just not to do it.

In which case, by your own admission, your offer won't be looked upon as well as someone who does supply the credit check, so why would you bother?

Any situation outside of those two, well you're probably not going to be in the market for a property are you?

Exactly! In which case, why bother with credit checking at all?

I hope that clears things up!

It certainly does....

What a ridiculous idea!

 

[twobobsworth]

Id put a comment on their face book page if I was on face book. They really are over stepping the mark here. This kind of thing really pisses me off!!

Facebook comments can be deleted. Best to go on Google reviews which they can't delete.