Proffesional Banking Packages

[Peter 14.7]

Hi

A good idea for anyone with equity and reaosnable income and using a bank is to ask them if they have a prosssional or premium banking package available?

What is it?

A lot like the good old days where your bank manager was a local and over 30 and knew you and had the power to work one on one.

I am with CBA and for $300 a year i get a personal adviser, discounted home loan rates (i think 0.25% variable and 0.15 % fixed) no loan fees monthly, ligher deposit rates, no account keeping fee, no credit card keeping fees, discount on insurance inlcuding Landlords insurance, no application fees and a best of all apersona l adviser who does all the paperwork and knows your situation so each time you do anything you dont have to fill in pages of data they already have. $300 tax deductable is set up properly.

IF you live in the country you may already get this assuming you have a bank! As for the Sydney CBD this service is a god send.

Which bank?? Well i know CBA and NAB offer it but I would assume all the big ones.

FYI

Regards

Peter

 

[Simon]

All the major banks have one. Funny thing is most people approaching a bank direct aren't told - I meet so many folks on a standard variable loan who weren't advised about these packages.

In the past I think the banks held them aside for their special clients

I believe they are really promoted by brokers and this has bought them to the public's attention.



Cheers,

 

[ChrisOs]

I have a "professional" package with BankSA/St George.
There is no annual fee, it does not have the personal adviser, monthly fees still apply etc, BUT the variable loan interest rate is .5% below their regular rate.
Chris.

 

[geoffw]

I've had a package with NAB for several years.

It has served me well in that time. It has meant that I have not had to pay valuation/loan establishment fees for new loans- and, in my last deal, where the LMI people would not allow the deal, allowed me to proceed- with the bonus of not having to pay approc $15K LMI.

But now I've come to the limit of their comfort zone. So I have to move elsewhere. It's a pity. I had a personal banker, who understood what I was doing- and the process of a new loan was REALLY easy.

$1M+ in laons seems to make them uncomfortable.

That was my own experience- what suits you may or may not bee the same.

 

[Gill Bates]

re $1M+ in laons seems to make them uncomfortable.

I really have no idea, but I guess It is probably not just the size of the loan , but it may be their assesment of the risk of lending to a person

Maybe they have a rule like

IF total loan amount > 1m AND LVR > X%
THEN REFUSE furthur loans no matter what

OR
if num loans for investors > X THEN
make lending critera tighter until we get back to the profile we want


or maybe they just have two many loans of that particular range , so they refuse loans for this customer profile for a while.


about "professional packages"
remember , your business is probably equal to 2,3,4+ (or more depending on loan portfolio size ) people with only PPOR loans, so they are making a saving on their overheads.

 

[Dos]

Hi all,

Probably going to the bank this Friday to see when IP #2 can be purchased. I am going to deal with the same guy my "in-laws" deal with at the same bank.

As we have PPOR and IP #1 loan with them, will have to ask about these packages. To also ask, has anyone experienced banks who will be less lenient on re-financing fees if you have several loans with them. At the moment, my IP loan is P&I and I may look to change this to help in some leverage but it is "locked in" until mid next year. It was originally my PPOR then changed it to an IP as I got another PPOR.

Dos

 

[Peter 14.7]

Hi All and Dos

Firstly, great to see my post starting some feedback. The goal is to learn from our collective experience.

Now Dos, my experince is with CBA they will set it up any way you want? All long as they are getting value like all banks.

As for loans over $1M being a problem... for anyone living in Sydney with PPOR and IPS then that is easily exceeded so I guess it is local comfort level.

What I do know is to get the most out of the Professional Package you need to gain the faith of your personal banker. You know meet face to face, great, charm, and all that. Unfortunately they often move say 6 to 12months so you have to break them in often/ Usually youger they need to feel comfortable that you know what your doing to really perform or they worry about thier risk. So be confident but not cocky, have some spreadsheets and supporting data, be confident and all will flow. PS have a back up bank to mention as leverage, nothing fires abank like competition real or potential.

One poster mentioned free valuations and no application fee. This is my experince as well. Recently got a 500k LOC and had to pay only the gov stamp duty of $1800.

Regards
Peter

PS Excuse spelling errors I don't know how to spell check posts?

 

[Peter_Tersteeg]

My observation is the people who get these packages are usually the ones who know about them and ask for them.

It also helps if you have a reasonable amount of debt with that bank.