Bad Credit
If you’ve had a loan application declined because of bad credit, it doesn’t mean you have no options. We have lenders on our panel who are specialists in helping credit impaired applicants including discharged bankrupts.
How much deposit do I need?
Generally you will need at least 10% deposit plus lender’s mortgage insurance & purchasing costs (stamp duty & legal fees) although some lenders have different rules regarding minimum deposits.
What is Lender’s Mortgage Insurance (LMI)?
LMI is a type of insurance that covers the lender in the event that you default on your loan even though you pay for it, it does not cover you. LMI generally is applicable above a loan value ratio (LVR) of 80%, some lenders do have different rules of when LMI applies.
What is a pre-approval?
A pre-approval is an indication from a lender of the amount they are willing to lend you based on certain criteria. This gives borrowers more confidence before making an offer on a property to buy. There is no obligation for you to take the loan and there is no obligation for the lender to lend that amount. It is purely a pre-qualifying guide only.
Why should I use a mortgage broker?
A mortgage broker is an intermediary who works together with you by assessing your financial situation and helping you decide what type of loan is right for you and with which lender you are best suited to.
What is a split loan?
A split loan is a loan that has both a variable rate component and a fixed rate component. That is, 50% of the loan amount may be with variable rate and 50% with a fixed rate. The proportions can 50/50, 60/40 or any other combination.