January 1st, 2018
The Connective Compliance Team work closely with our lender panel and recently received feedback from them about loan application submission trends from brokers. Taking this feedback on board in your business could significantly reduce turnaround times for your applications and prevent you from wasting time on re-working your applications.
So why not save your sanity, not to mention a great deal of time? It will take just fifteen minutes to review your current processes and procedures, and apply the five top tips we’ve outlined below.
Ensure your broker details are correct.
It’s an easy one to get right – and that’s why it’s an easy one to get wrong! Ensuring your broker details are correct on every submission will help to ensure there are no delays for your clients, or for the payment of your commissions.
1. Never share your broker ID. If someone else in your team has provided the credit assistance, then the deal must be submitted by that broker with their ID. This is a mandatory industry requirement for all mortgage brokers. Sharing ID’s is never OK and may result in disciplinary action from the lender or your aggregator
2. Follow the lender’s customer ID verification requirements. As you know, lenders have vastly different requirements for client ID verification. Make sure you obtain the specific documentation required by your chosen lender. Always check with the lender regarding their policy for non-face-to-face identification, as they may have specific processes to follow, or may not allow it at all
3. Follow the lender’s Supporting Document Checklist.As with point 3, get the supporting document requirements right the first time and you’ll breeze through the pre-assessment process! Each lender’s checklist can be found under the ‘Services’ tab in Mercury. Just click on the lender, then ‘Loan Forms’. If you’re not a Connective broker, you may have to obtain a checklist directly from the lenders you have accreditations with.
4. Don’t use digital signatures, unless the lender approves. If you don’t want to hold up an application, ensure the original, hard copy loan application form is signed by the client unless an alternate method is approved by the lender. Check your lender’s policy on digital signatures under the ‘Services’ tab in Mercury. If you’re not a Connective broker, you may have to obtain this information from your Lender BDM.
If you have any questions about a lender’s application submission requirements, you can always contact your Lender BDM. If you want to find out how Connective’s IT Platform Mercury completely simplifies these tasks and makes it easy for you to find lender information at the click of a mouse, talk with your local Connective Broker Support Manager.