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Brokers are calling on Australia’s lenders to enhance their servicing calculators.
At a recent women’s roundtable, partnered by Citibank, broker attendees agreed there is often a discrepancy between what a lender’s servicing calculator says and the lender credit team’s decision.
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Speaking to The Adviser, Mortgage Choice’s Jane Vaughan said she will sometimes find a deal services on a lender’s calculator only to have it declined when it reaches the lender’s credit assessors.
“Some of the servicing calculators and software provided by the lenders are not effective. For example, I can make a deal service with one lender’s calculator and yet that same deal will be declined by the lender when it reaches the credit department,” she said.
Her comments were echoed by Aussie’s Lisa Maxwell and Pink Finance’s Nicole Cannon.
Ms Maxwell said lenders should make sure their credit assessors and broker partners are given access to the same calculator to ensure loan decisions are consistent.
“We don’t want credit giving us one answer when we see a different one right in front of us. The key really is consistency,” she said.
Ms Cannon added that it did not make “business sense” for the calculators to be giving one answer and the lender’s credit team another.
“The reality is, we don’t want to waste our time submitting loans that we know won’t be approved. If we submit a deal to a lender, we expect approval,” she said.
