You gotta love banks.... right?? (must have a local bank account to settle loan ?)

You gotta love banks.... right??

Rare, I know, but this is a grumble from me....
I have a property to settle today. It's in my husband's name and so is the bank loan.
Weeks ago I went through all mortgage docs and there was a direct debit form, which only gave me the option of debiting (sp?) from an ANZ account (oops!! bank name escaped me) and we don't have any ANZ accounts. So I ring the mortgage unit in Melbourne, and ask if I have to have an ANZ account or can I set up a direct debit with another bank's account. I was told, no, that's fine, once the loan is settled you can arrange for payments to be made from another account. I sent the form back with a big line through it and a comment like "arrangements to be made for direct debit from account held at another bank". Just so nobody would think I'd accidentally missed it.
At 930am this morning my broker rings in a panic, ANZ have rung to say they can't settle without an account to direct debit payments from.
So I race around like a hairy goat, get down to a branch, open an account, ring through the details to the broker... problem solved.
Get another call 15 minutes later. The new account is in my name, the loan is in my husband's - so they don't want to accept it. They won't even accept it if it's a joint account, which I thought I might be able to wangle.
So, there's my hubby at work, with not enough docs to get 100 points even if he could get to a bank branch and open an account.
So I gave my broker full permission to spit the dummy with ANZ about it all, given that I'd been told all this wasn't necessary.
Finally, after much dummy spitting by said broker, they grudgingly agreed to settle today on condition that hubby opens a bank account first thing Monday.
Honestly, sometimes you really wonder about these places..... and that's a polite way of expressing my thoughts! :mad:
 
Hi,

Know what you mean, for my last deal, I spent 6hrs from 8am in the morning to get independant witnesses to watch me sign similar documents as both the borrower and guarantor, that's one legal for me the borrower, one legal for me as guarantor, and one financial as one for me as borrower!

Michael G
 
I had a good one today too.

I've been making some enquiries about increasing some LOC's in conjunction with my wife who is a guarantor on some of the loans.

They sent me a fax saying they required my wife to have 'independent legal advice' before they would proceed with the loan application. Remember this is just at the enquiry stage. No valuations, approved amounts/structures in place yet.

"Hang on!" I said. "I don't even know how much it's for yet, let alone structuring arrangements. Isn't it a tad early to pay for legal advice before you have a clear picture of what you are seeking advice on?" Note: I acknowledge getting signed legal advice doco is often part of the official loan doco process........but before???

So now it appears they will be happy if she just signs something along the lines of:

"This is to confirm that I fully understand the implications of borrowing funds from ****** and my responsibilities in relation to the security property, even though the property is not in my name."

Keep in mind she has already co-signed all the relevant sections of the loan application doco to date.

What a time waster!


:)
 
You gotta love banks...

Hi there.

What timing! We're getting a pre approved loan with a bank using exactly the same letters in its name! Our loan is in my husband's name only and I was just going to open a joint account and do the same thing. Guess I'd better follow up on this too.

Thanks for your timely advice.
 
Hiya

Dont wanne be a stick in the mud here, but anyone that deals with ANZ on a regular basis knows that for their I/O loans the only way to pay them is via dd ex ANZ acct. And you can dd from a joint acct to a single borrower acct.

The people that know the least about ANZ products are the bankies themselves.

This sort of thing is NOT restricted to the ANZ who have recently significantly cleaned up their act. WHen using some of the more "advanced" structures I always try and equip clients with a good chat and often a powerpoint sketch too.

The best recent one is FOUR versions of docs, and the lender STILL couldnt get it right.

TA

Rolf
 
loving banks!!

Hi all,
Isn't it amazing how the banks (can't live with them, can't live without them!) always let you know this information just before settlement? I had a similar experience and received a 9pm phone call saying they couldn't settle early the next morning as was agreed. Don't they read the documentation before agreeing to a settlement time and date?
Between the lot of us, I think we should start up our own investor's bank and tell the banks to stick it. That way we could set our own rates and conditins. You scratch my back and I'll scratch yours.
Hils.
 
On my last settlement, I had documents express couriered from Sydney to Canberra. They were found a week later in North Sydney.

It was a 105% loan. Two weeks later, I have not received that extra 5% (covering stamp duty and other purchase costs). I'm severely cash-strapped at the moment.
 
I have just recently re-finance all my loans with BOM.

I had one main account where all moneys are to be deposite and DD from and I have also asked for a cheque account to be attached to one LOC, I intend to use the fund from this chq acct as a deposite only.

Instead BOM have issue a chq account attached to my main one and of course each time I deposite/dd or withdraw money from this account I get BAD taxes. When I asked BOM to cancel original chq acct and re-issue a new one attached to one of my LOC and to have the BAD Taxes re-fund to me. This is what I get:

"We are not able to do this for you, you will need to go back to the banker you dealt with to have it correct" - I am still trying to get her by phone and left a few messages so far no reply .

And wait for it they then tell me "You can always claim back the BAD Taxes" The point is not whether I can claim it back or not, I just wants eveything to be done right the first time! :mad:

I am still waiting for my new chq book, this all happens end of Aug :(
 
If you want to read more stories like the above, then get the book called "Banks Behaving Badly" by Maria Prendergast. It good for a laugh with some of the "situations' these bankers (Dale, did I spell that right?) have done to their customers.

I like one case where a customer ended up getting 80 cheque books! (for the one account) in her mailbox, over a few days. The bank staff woke up when it was said that this would make a fantastic story on "A Current Affairs". The Area Manager jumped in the car and collect them. Later, he offered them dinner to the value of $200 as compensation for all the inconvenience.

Now, where's that cheque book of mine?:D
 
Originally posted by Rolf Latham
Hiya

Dont wanne be a stick in the mud here, but anyone that deals with ANZ on a regular basis knows that for their I/O loans the only way to pay them is via dd ex ANZ acct.
What is particularly annoying about this is that ANZ charge you $10 per month in account fees for the privilige of having that account! The flipside is that the ANZ IO loan is pretty good - IO, 95%, and they will capitalise LMI and costs (therefore making the loan effectively >95% without x-coll.) I suppose you end up paying a little more for the additional features.

Q. for Rolf then ... Is there any way of avoiding the ANZ requirement to draw from an ANZ a/c on their IO loan, or avoid paying the $10 pm fees? I suppose one might be able to negotiate waiver of those fees.

Pierre
 
Hi Pierre

HLIS or Home Loan Interest Saver is free but is really a transaction acct, but does provide the 100 % offset facility.

ANZ ONE Transaction acct which is what you are describing is what you pay the fee for, not so much the offset facility - that youre already paying for in the difference in rate between the Standard Home Loan with Offset and their Money Saver Loan.

Ta

Rolf
 
that's what I get for ringing the ANZ and asking the question - I probably should have rung my broker and got the CORRECT answer! ;)
 
Here's my 2 cents worth about ANZ: last year I refinanced to consolidate some loans. Besides having to complete some paperwork twice because the bank had misplaced the originals, settlement came and went and the loan amount was transferred to my account, but none of the old loans were paid out!

I had to ring around for payout figures and then go and get bank cheques to pay the the old loans myself (luckily the bank didn't charge me for the cheques).

I also arranged for home & contents insurance to be deducted monthly from my account. I rang a couple of times during the next few months because no deductions had been made. I was assured that all was in order and there was just a delay finalising the paperwork or something....I ended up getting insurance elsewhere, because to date the bank has not deducted any payments from my account for insurance.

How it wins banking awards is beyond me....:confused:
 
Know How You Feel

The property is in my name but we are looking for tax deductions from my husbands pay. I have posted a letter on PI forum to get some thoughts from others.
Hope all turned out well!

j
 
banks behaving badly

Here's my story - about the ANZ and the ING bank.

I had split up with my partner and we decided that I would keep the house but re-finance the joint loan into my name and borrow additional money to pay him his share.

The first time I rang the ANZ bank they said that it was no problem and there would be no charges, providing I could prove that I could meet the repayments. The repayments were no problem on my income but I was very suspicous thinking that this was too good to be true. So I rang again and spoke to someone else. The second time I rang I was told I would be charged full exit fees from my old loan and full loan start-up fees plus mortage insurance (which we had already paid, just in joint names).

A different ANZ staff member told us that we would be better off re-financing with another bank because other banks may offer an incentive to switch banks in the form of reduced application fees.

This is what I did, choosing the ING bank because of their discounted "no frills" loans.

Then began a battle with the Government bureaucracy, who tried to do a number of things including charging thousands of dollars stamp duty, not updating water and electricity accounts, (in spite of phone calls), resulting in 6 months worth of bills to pay at once, and more.

At the same time, the ANZ seemed to refuse to process the relevant paperwork for my mortage to be handed over to the ING bank. This resulted in the loss of a partial refund (10% or something similar) of my mortage insurance which I had paid 2 or so years ago. Apparently you can obtain a partial refund of your mortage insurance if the loan is cancelled within a particular time frame.

Again, at the same time, I was having trouble with the government bureaucracy who were forcing me to go to the magistrates court so that a previously lawyer-free separation could be, at great cost to us, documented in court for no reason other than to avoid stamp duty.

Due to above government bureaucracy, I asked the ING bank (through my broker) to hold off sending paperwork (which apparently I have to sign in blood within 14 days) so that my stamp duty concession can be processed. They send the paperwork anyway. Through some miracle and much complaining to some sort of minister, my stamp duty concession comes through (providing I pay some lawyer to provide paperwork within 12 months).

At the same time, the ING bank wants to value my house. I have had 3 real estate agents valuations already for the purposes of determining how much money I should give to my ex-partner. Their so-called independent ING evaluator values my house at 155,000. The 3 real estate agents value my house at 165-185,000,175-185,000 and 175-185,000. This results in me having to live off my credit card in order to get the extra money my ex-partner deserves OR pay the bank several thousand in mortage insurance.

The ANZ bank is still stalling, refusing to hand over simple paperwork to the ING. Even though I apply much pressure through my broker, nothing happens for some time. Meanwhile, I can't continue with my life - my partner wants his money to carry on with his life, and I want it all to be finalised so I can carry on with mine.

Eventually, something happens, after many false promises. Unfortunately, it happens the day that everyone leaves work for their xmas break. No-one tells me that settlement has occured.

I received a statement from the ANZ bank during one of the "working" days over the xmas break saying that my loan had been payed out. I wondered what had happened to the additional money that I had borrowed to give to my ex-partner.

All through the xmas break I worried. Since settlement had occured, my ex-partner wanted his money, too. I tried to contact the ING bank's solicitors, but they were on leave. I tried to ring the bank, and waited a couple of times for 15 minutes or so before thinking that they must also have left the phones unmanned. (I later found out that yes, a 10 minute or longer wait is normal for the ING bank).

Previously, my mortage broker had informed the ING bank's solicitors of the circumstances (that the extra money not used to pay out the ANZ loan would be given to my ex-partner). Since the ANZ bank had told me all money on the loan must be taken at once, my broker had given the ING's solicitor details of my ex-partner and asked them to pay any money in excess of the ANZ loan to be paid to my ex-partner.

First working day back after xmas I contacted the bank, hopeful of getting the additional money for my ex-partner right away.

For almost a day they said their computers were down. Then, right before closing time, I rang them again and they told me that all the money on my loan had gone - I owed them 124,000 even though the ANZ loan was only 98,000. They didn't know where the 26,000 had gone, even though I was paying interest on it and my ex was clamouring for his money.

Of course I rang the ING bank's solicitor's too (Snedden Hall and Gallop) who denied all knowledge. Over the next couple of days Snedden Hall and Gallop claimed the ING Bank had my 26,000 and the ING Bank claimed Snedden Hall and Gallop had the 26,000. Snedden Hall and Gallop admitted to receiving paperwork informing them about the extra 26,000, which was to be paid to my ex, and not saying or doing anything. They said this was "very unusual". They said that they wouldn't draw more money from the loan than was to be paid to the ANZ and certainly wouldn't organise for this to be paid to my ex. They acted as if it was my fault for asking for something unreasonable and unusual.

I repeatedly called the ING Bank over this time (waiting ten minutes or more each time), eventually after a couple of days the 26,000 magically appeared back in my loan account. The ING Bank genourously compensated me for interest, phone calls, tears and lost sleep with the sum of $41 dollars. The $26,000 had been in the hands of someone else for about two weeks. I never received an explanation, apology or compensation for the stress this had caused me.

Of course, at the end of it all the 26,000 was reduced to 25,000 something for "solicitor's expenses".
 
Hi Sarah

Wow, and you lived to tell the tale.

But remember that ANZ has won Home Loan Lnder of the Year for many years now - I suppose youi wonder what the others must be like.

My suggestion to you is that in combination with your ex and your broker you write to the Banking Ombudsman and take it form there.

It would seem you have at least a moral if not legal right to at least an apology and quite likely some form of monetary compensation.

Ta

Rolf
 
Rolf,

I don't think Sarah's vote for 'Home Lender of the Year' got counted..............maybe it got lost somewhere with the rest of the paperwork. :)

Sorry to hear you had to go through all that Sarah. You obviously had enough other issues to address without all that extra rubbish as well.

Hope 2003 brings better times. Good luck.


:)
 
Hiya Allan

Understandably I could tell some interesting stories BUT I will refrain - people may take me seriously for a change.

The BIGGEST problem with most of the larger lending institutions is the devolved responsibility of the individual business units, and subsequent lack of duty of care to the client.

Truly its soooo easy to fix if the board of these organisations would just for a second take their eye off immediate shareholder value.

Why is it that 7 out of 10 loans have some form of problem with them either in terms of timing of processing and settlement or subsequent service delivery ? It cant be that hard that hard IF these places are adequately staffed by appropriately renumerated, empowered and trained staff. Always, there will be some new middle management person that can cut costs by implementing a new process or system.

Ta

Rolf
 
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