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Mortgage Broker News | 14 Sep 2015, 08:15 AM Agree 0
Brokers may have been lulled into a false sense of security when it comes to IRD calculations, with some channel lenders now charging big bank-like penalties
  • welbanks | 14 Sep 2015, 09:53 AM Agree 0
    I'm sure there's reason for it, but it would be more helpful if the article included the offending lender. Please feel free to contact me separately if you have the info on that bond premium penalty -
  • Vince Gaetano | 14 Sep 2015, 10:13 AM Agree 0
    If wants to provide value to the community it would be very helpful to provide details on the lender and product type. Being vague has no value and quite frankly creates a discussion based on assumptions and unknowns.....what's the concern about discussing a specific lenders terms and conditions? It's proper reporting!
  • Paul Whatmore | 14 Sep 2015, 11:16 AM Agree 0
    Thank you Vince.

    Broker advantage eroding??? Really??? I don't know where you are coming up with this concept. There was a time when 4% of all mortgages were broker originated. Today I believe that number is greater than 25%. If a bank wont disclose to you and TD Bank doesn't then talk to First National they do disclose and they will take 1 off deals from you. You don't have to be married to them although their service might convince you otherwise.
  • Walid Hammami | 14 Sep 2015, 11:43 AM Agree 0 does not want to hurt any lender's business.

    If there is one thing that we need to take from the article it is we have to be more informed about penalties.

    I have to add that I always ask the BDMs about the penalties and some of them just say "it's the standard way of virtual lender, it's based on the broker's rate not the posted rate like the banks"

    What we will need is a full documentation about the all the fineprint clauses that are on the contract.

    If we are not that informed then it is true that our advantage is eroding even further.

    I wish that the superbrokers (DLC, Verico, Centum etc..) weigh in in the matter.
  • Matthew Hines | 14 Sep 2015, 03:41 PM Agree 0
    I would like to know if the details pertaining to the penalties were detailed on the commitment the broker would have gone over with the client or was it on the docs signed at the lawyers' office.
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