PCL Money has the experience to put together finance deals that are considered ‘too hard’ by other lenders

PCL Money was contacted by an elderly couple who owned a 3rd generation farm. They had gotten into trouble with a bank and fallen behind due to expansion plans and bad weather (too much rain).

For three long years they fought attempting to hold on to the property. If the property had been sold at that time the price realised would have left them penniless.

The borrowers managed to get a development application approved by council to subdivide some of the land holding and had presold 8 of the 9 blocks.

They had paid numerous applications fees to financiers without getting any results.

The matter was further complicated by the Farm Debt Mediation Act and although the clients had not sought assistance under the provisions any incoming lender needed to be considerate of the review process.

The clients were at the point of eviction when they sought assistance from PCL Money – one of Australia’s most experienced finance brokers.

PCL Money arranged funding, attended settlement on short notice and assisted in completion of the subdivision.

All money lent was repaid and the elderly couple were also able to further subdivide a residual block.

Now complete the have the family farm unencumbered another 2 blocks yet to sell and plenty of cash to take a well-deserved first ever overseas holiday.

This was a hard deal for some lenders but a sensible safe request outside of the criteria of traditional lending policy.

This is an example of how PCL Money is able to put together finance deals that are considered ‘too hard’ by other lenders

It only needed some simple structured loan agreements to secure.

Talk to the credit experts at PCL Money. Visit their website at www.pclmoney.com.au or call 02 4226 9977 for a confidential discussion and friendly advice.

 

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Please note that the above is general financial information only and is not intended as personal financial advice for which you should contact a licensed financial professional.

 

Posted in Uncategorized

Why are things slowing down?

There has been a slowdown in the buying of family homes and investment in commercial and residential property in Australia. The level of new businesses has decreased.

This is because we have an increased level of uncertainty in the Australian economy at the moment.

People traditionally are less inclined to invest if there are perceived obstacles in the way of making a decent return on their investment.

So what are some of these hurdles?

Well we have a royal commission into banking and insurance and superannuation – 1 big scary.

  • We have Christmas approaching – 1 small scary.
  • There is Donald’s arguments of course with China – 1 small scary.
  • Gyrations in the stock market(s) – 1 medium scary.
  • Diminishing property values – 1 big scary.
  • School holidays – 1 small scary.
  • State elections 1 small scary.
  • Federal Budget – 1 small scary.
  • Federal Election – 1 big scary.
  • Winter – 1 small scary.

Total: 3 bigs,  I medium and 6 small scary issues. Nothing to get in the way of a decision here – I think not!

This is why the economy is slowing down – but should it really affect your purchase decisions or your life? It could also be argued that there has never been a better time to invest.

Inflation and interest rates are low, job growth and unemployment figures are good and the long term outlook for the Australian economy is positive.

Measures of business conditions remain at elevated levels on the back of solid economic growth and increased profitability even as business confidence has wavered in recent times.

As Franklin D Roosevelt once said ” the only thing we have to fear is fear itself…”

Posted in Uncategorized

New Study into mortgages by the Australian Competition & Consumer Commission.

 

The mortgage fees and practices by the major banks have been examined in a new study by the Australian Competition & Consumer Commission (ACCC).

It stated that the discretionary pricing practices of residential mortgages by the banks are not clear to many borrowers. This is costing Australian borrowers more money every year.

The ACCC said there seemed to be unnecessarily expensive search costs and efforts by the banks that discouraged borrowers from looking around for better deals.

The report maintains that the pricing for mortgages by the big banks is opaque and they have a lot of discretion. The banks profit from this and it is against their interests to make pricing transparent.

The study also revealed that banks have taken advantage of increasing rates for interest-only loans, which allowed them to post a combined revenue gain of over $1.1bn during the recent fiscal year.

Banks operate in an oligopoly market structure. The biggest four banks alone control 80% of the market. When ANZ increased interest-only rates in June 2017, other banks followed suit.

The ACCC Chair, Rod Sims said “such is the oligopolistic nature of banking that the banks all took the opportunity to increase rates on both new and existing interest-only mortgages, despite APRA’s measures only applying to new lending.”

According to Sims, borrowers should be prepared to switch to another lender. “I encourage more people to ask their lender whether they are getting the lowest possible interest rates for their residential mortgage.”

He said that there is nothing wrong with switching lenders, especially if it means a more competitive interest rate.

However it is not always so easy for borrowers to negotiate with their lender over the price of their mortgage. This takes time and many simply do not have the experience to deal with such matters.

This is why using a mortgage broker such as Illawarra Home Loans https://illawarrahomeloans.com.au can be an advantage.

Illawarra Home Loans has been helping Australian families and investors since 1989.

This means that they have the experience to effectively negotiate on your behalf with a large panel of lenders to get their clients the best interest rates on the market.

They have built strong relationships over the years with their lenders. The experience and negotiating power of Illawarra Home Loans often means lower interest rates and better conditions than what your bank may offer you.

For a confidential discussion and friendly advice talk to the mortgage expert, Justin Bailey, at Illawarra Home Loans – email: justin.bailey@ihl.com.au or call 02 4226 5555

For more information visit their website at https://illawarrahomeloans.com.au

At Illawarra Home Loans, your needs are their most important consideration.

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Please note that the above is general financial information only and is not intended as personal financial advice for which you should contact a licensed financial professional.

 

Posted in Business Finance, Competition, Home Loans, Interest Rates, Mortgage Refinance, Property Investment, Purchasing

Justin Bailey joins PCL group and Illawarra Home Loans

PCL group this week welcomed Justin Bailey on board as its new associate director of Illawarra Home Loans.

The group has operated many years in the Illawarra with director Martin Anstee at the helm.

Mr Anstee said Mr Bailey has worked in the local market for a number of years and his arrival will further enhance the business’s reputation and goal for providing exceptional customer service coupled with an in-depth knowledge of available financial products.

“Illawarra Home Loans is well known for personal service tailored to suit the individual, we are thrilled to have Justin on board with his reputation for excellent customer service and client care,” Mr Anstee said.

“Justin brings a wealth of experience in his move to us”.

Mr Bailey said he was looking forward to the challenge of working with PCL group and Illawarra Home Loans who have been servicing the Illawarra for 30 years.

“It is a great opportunity for me to join an organisation with a great reputation,” he said.

“I’m looking forward to being able to find new solutions to clients needs with the backing of Illawarra Home Loans.”

“We are proud to be locally owned and independent which means that we are not fixed to any one financial institution or bank so we are able to shop around for the best deals on offer”.

Posted in Uncategorized

Real life ‘Mum and Dad’ customers we can help

This is Tim and Jess, real life parents who want to consolidate their debts.

Tim and Jess have two kids and there’s another on the way. They have multiple debts on top of their monthly mortgage, so things are tight. They want to secure some cash out to reduce a major liability and simplify their debts into one monthly payment to get their finances under control. Unfortunately, they’d missed some payments on their personal loans – so their existing lender wouldn’t consider their application.

How we could help: With a home loan from an alternative lender, they could get the cash they needed to consolidate their debts and reduce their financial worries.

The most common solutions we can assist ’Mum and Dad’ customers with:

Overdue or overdrawn credit cards/unsecured debts

Income from various sources

Government payments incl. family tax A&B

· Casual employment

· Child support

Missed repayments on mortgage facility

Adverse credit

· Paid/unpaid defaults

· Court judgements and writs

· Discharged bankrupt (one day)

Unlimited debt consolidation

PCL Money also regularly helps ‘Mum and Dad’ clients with:

Purchasing for investment purposes

Non-genuine savings – gifted funds accepted

Lenders that do not use credit scoring

Full Doc purchase up to 95% LVR or

Alt Doc purchase up to 85% LVR

Cash out for personal use

Self-employment

 

Contact  us today                                                                                   

email: enquiries@pclmoney.com.au

ph: 02 4226 9977

Posted in Uncategorized

The terms and conditions of a loan may be just as important to certain borrowers as the interest rate.

When looking for home loan that offers the best interest rate, many people will enlist the services of a mortgage broker.

However, obtaining a loan with a better interest rate is only one side of the story. The terms and conditions that go with the loan can also be very important.

A mortgage broker such as Illawarra Home Loans also has the ability to source loan products from a large panel of lenders which can best suit their client’s specific needs.

Loan Agreements are complex documents and there are numerous terms and conditions which compose the loan contract.

As well as the interest clause there are also a number of other clauses which comprise the terms and conditions of the loan.

These terms and conditions include items such as the default interest clause. This is the interest rate payable on amounts which are not paid when they fall due.

The Prepayment clause can be important to certain borrowers as it allows them to repay the loan early thus making the loan more flexible.

Another condition of a Loan Agreement is whether it is repayable on demand or is only repayable at the end of a fixed term.

There are certain ‘Events of Default’ (events that brings the borrower into default) which can vary depending on the type of loan being entered into.

A Cross Default is a default on any other facilities provided by the lender to the borrower which will automatically cause a default under the Loan Agreement.

The ‘Breach of the Loan Agreement’ is whether any breach of a term of the Loan Agreement will automatically cause a default.

The ‘Non-Payment’ clause is whether the non-payment of either interest or capital automatically triggers a default. There should be a provision which includes a grace period to cover administrative difficulties.

The insolvency clause covers whether the borrower going into insolvency is an event of default.

In addition to the terms and conditions, several different types of fees can be involved in taking on a new mortgage or working with a new lender.

These can include items such as origination fees, application fees, and appraisal fees.

In some cases, Illawarra Home Loans may be able to get lenders to waive some of these fees which can potentially save their clients thousands of dollars.

An experienced  broker such as Illawarra Home Loans is able to effectively negotiate the terms and conditions with credit providers on your behalf.

With over 30 years experience in the finance industry, Illawarra Home Loans have regular contact with a wide variety of lenders and will avoid certain lenders with onerous payment terms buried in their mortgage contracts.

Illawarra Home Loans has established a reputation as one of Australia’s most trusted mortgage brokers.

For competent advice and friendly service contact Illawarra Home Loans on  02 4226 5555  or visit their website at www.ihl.com.au.

(Illawarra Home Loans is a sister company of PCL Money)

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Please note that the above is general financial information only and is not intended as personal financial advice for which you should contact a licensed financial professional.

 

 

Posted in Uncategorized

More people are turning to finance brokers in the wake of the royal commission.

The Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry has just concluded its hearings.

One result of the Royal Commission has been that the reputation of some major banks and their brands have been severely tarnished in the eyes of the public.

Evidence showing misleading conduct and charging for services which were never rendered has led to a diminishing of trust in many banking institutions.

If you need a home loan or business and equipment finance, you can go about it by either applying directly to your bank or shopping around for a loan with better rates and conditions.

With so many competitive finance deals on the market, many people are realising that going straight to their current bank and signing up with whatever it offers them is probably not the best idea.

On the other hand going with what your bank offers seems easier. It can save you the time of contacting different lending institutions and filling out numerous application forms.

Unless you use a finance broker.

Using a finance broker such as such as PCL Money and Illawarra Home Loans means that you only have to deal with a single company and provide your details only once.

With over 30 years experience in the finance industry they can source the most competitive loan packages on the market.

Another factor is that if you apply for a loan yourself and are turned down, it may adversely  affect your credit history. This can be detrimental to any future loan applications that you make.

Traditionally, going with a major bank seemed a better option to some people because they felt that they can trust in their big safe brand versus dealing with a finance broker that that may not have heard of before.

However the Royal Commission has revealed some startling malpractices by many banks which are leading people to believe that they may not be so safe after all.

Experienced brokers such as PCL Money and Illawarra Home Loans can often give their customers better service and more personalised advice than a bank.

Unlike a bank, dealing with PCL Money and Illawarra Home Loans means that you are not locked in with any single lending institution.

They have a large panel of lenders enabling them to provide their customers with the best finance deals on the market.

With a broker you do not have to pay any extra or hidden commissions and you can expect PCL Money and Illawarra Home Loans to provide you with a more competitive loan offering than your own bank.

The major difference between dealing with your bank versus PCL Money and Illawarra Home Loans is that they can provide you with a better choice of loan offerings.

Do you think that your bank would tell you if could get a better loan deal with a different lender?

Your bank can only offer you the finance products that they sell along with their associated lending policies which can often be quite rigid.

This means that you might well be missing out on a better rate or loan conditions that can come with choosing the best deal from a number of lenders.

PCL Money and Illawarra Home Loans have a panel of lenders and many products to choose from. With long experience in the industry they have the expertise to properly evaluate your financial position so they will only apply with a lender that is likely to approve your loan.

In contrast, when applying for a loan with your bank the staff member may not be aware whether or not you will qualify.  All they can do is submit your application and hope that the deal goes through.

If your loan is declined this means getting unnecessary credit enquiries listed on your credit file as well as missing out on being able to buy your dream home.

Another advantage of using PCL Money and Illawarra Home Loans is if you have a complex situation they have the experience to properly assess your case and give you the best advice.

Whether your loan application is approved or declined may come down to the financial strengths that you’re able to put in your application.

PCL Money and Illawarra Home Loans have the knowledge and experience to package and present your application in the best possible way.

They have built strong relationships over the years with their lenders and are able to negotiate the best loan terms and conditions on your behalf.

The experience and negotiating power of PCL Money and Illawarra Home loans not only means  lower interest rates but also better conditions than what your bank may offer you.

The Banking Royal Commission has shown that some banks have simply not provided their customers with the ethical practices and safety that they were expecting.

Talk to the credit experts at PCL Money and Illawarra Home Loans. Visit their website at www.pclmoney.com.au or call 02 4226 9977 for a confidential discussion and friendly advice.

 

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Please note that the above is general financial information only and is not intended as personal financial advice for which you should contact a licensed financial professional.

Posted in Uncategorized

Real life ‘Mum and Dad’ customers we can help

This is Derek, a real life solo dad who achieved his goal with an alternative lending solution.

Derek, father of two, was recently separated.

It was an emotional time and he missed two mortgage repayments as finances took a bit of a back seat. When he got back on track he wanted to sort out the house ownership, but his current lender couldn’t help him refinance because of the missed payments.

How we could help: With a home loan from an alternative lender, he was able to refinance his home and pay out his ex-wife.

Most common solutions we can assist ’Mum and Dad’ customers with:

Overdue or overdrawn credit cards/unsecured debts

Income from various sources

Government payments incl. family tax A&B

· Casual employment

· Child support

Missed repayments on mortgage facility

Adverse credit

· Paid/unpaid defaults

· Court judgements and writs

· Discharged bankrupt (one day)

Unlimited debt consolidation

PCL Money also regularly helps ‘Mum and Dad’ clients with:

  • Purchasing for investment purposes
  • Non-genuine savings – gifted funds accepted
  • Lenders that do not use credit scoring
  • Full Doc purchase up to 95% LVR or
  • Alt Doc purchase up to 85% LVR
  • Cash out for personal use
  • Self-employment

PCL Money email: enquiries@pclmoney.com.au   ph: 02 4226 9977

Please note that the above is general financial information only and is not intended as personal financial advice for which you should contact a licensed financial professional.

Posted in Uncategorized

What does the term ‘exit strategy’​ mean in the finance industry?

We often hear about young home buyers having difficulty getting finance to buy their first home and get into the housing market.

But what about older people who are trying to get a home loan? Approximately 15% of people in Australia are aged 65 and older, according to the Bureau of Statistics.

Older Australians might be trying to borrow money to purchase an investment home, to downsize their property after the death of a partner or a divorce, or simply wanting to buy their own home after years of renting.

An important criteria for seeking to borrow money is your capacity to service (repay) the loan. Lenders need to be sure that your employment and income will be there during the period of the loan so that you can meet the repayments.

The legal position is that credit providers cannot discriminate against you simply based on your age but at the same time they are legally obliged not to provide a loan unless you have the means of repaying it.

For example if you are 50 years old and need a mortgage the lender might be inclined to only offer a term of 15 years instead of the more usual 30 year period that they might offer to a younger borrower.

This is based on the fact that you may stop working when you reach 65 years old and is called an “exit strategy” for how the loan is to be serviced when your wages stop.

However there are other factors that can work in your favour. You may have other assets, a good amount of superannuation or be in an occupation where you could be reasonably expected to continue earning money after 65.

You may be after an investment property which can more be readily sold and the loan liquidated than a home that you occupy and this can be factored into your eligibility criteria.

This is where is can be an advantage to talk to an experienced finance broker such as PCL Money.

With PCL Money you do not have to pay any extra or hidden commissions and because they are not locked in with any one financial institution you can expect to be offered a loan with better a better interest rate and more favourable terms that what a bank may offer you.

PCL Money has a large panel of lenders and are able to effectively negotiate on behalf of older Australians a loan facility which can satisfy their needs and meet their requirements.

So if you are an older Australian and seeking to either re-finance your existing loan at a cheaper rate or to buy a new property, don’t be discouraged by your age. Talk to the experts at PCL Money.

You can send an email to enquiries@pclmoney.com.au or call 02 4226 9977 for a confidential discussion and personalised advice which is completely free

REQUEST A CALL BACK by clicking here: https://goo.gl/CmFwsq 

PCL Money is one of the country’s longest established and most experienced finance brokers and have been helping older Australians to get the best possible finance deals for over 30 years.

At PCL Money, your needs are their most important consideration.

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Please note that the above is general financial information only and is not intended as personal financial advice for which you should contact a licensed financial professional.

Posted in Uncategorized

Real life self-employed customers we can help

This is Dave, a real life borrower who achieved his goal with an alternative home loan solution.

Having worked hard to get his business humming, Dave was now in a position to buy his own place. But he hadn’t finalised his tax returns with his accountant so his bank said no to a loan.

How we could help: With an Alt Doc loan from an alternative lender, his goal of owning a home became real.

Most common solutions we can assist self-employed customers with:

Newly self-employed:

  • Minimum 6 month  ABN and GST registered (if applicable)

When last 2 years’ financials are not available

Financial declaration and one alternative document to verify income:

  • Accountant’s letter
  • 6 months’ BAS statements
  • 6 months’ business bank statements

Cash out for business purposes

  • Adverse credit
  • Paid/unpaid defaults
  • Court judgements and writs
  • Discharged bankrupt (one day)
  • ATO debts

PCL Money also regularly helps self-employed clients with:

Investment portfolios

Complex trust structuring

Companies in administration

Full Doc purchase up to 95% LVR or

Alt Doc purchase up to 85% LVR

Unlimited debt consolidation

 

Contact PCL Money today

email: enquiries@pclmoney.com.au

ph: 02 4226 9977

Posted in Uncategorized
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