Vow Financial Conference

The annual Vow Financial National conference is taking place from the 16th - 18th September 2018 at the Hilton Hotel in Queenstown New Zealand. The conference website will be launching on Monday 7th of May 2018, so please keep an eye out for the special early bird rate. Airfares are inexpensive at the moment so please register, book a flight and come along.

Group Lending Announcement

Following a strategic review of the business, there has been a decision made to revert to the original brand of the Group Lending business being Resi Home Loans.

For Vow brokers, we have listened and understand having the Vow brand on multiple product lines causes confusion. As such, while the Macquarie Funded Vow Home Loans will continue under the Vow brand, all loans currently on offer via Group Lending will be rebranded from Vow to Resi Home Loans. The products, pricing, service and the personnel supporting the loans remains the same, it is just the branding of the loans that will change to reflect the wishes of our Vow Brokers network. This will start to become apparent from late May when our Apply on-line logo changes and some of the branch facing documents start to show Resi rather than Group Lending

This change is still a few weeks away, but we thought we would give you plenty of lead time ahead of the change. Closer to the time we will provide you with another notification.

Current Apply On-Line lender identification and logo

New Apply On-Line lender identification and logo

All of your AOL codes will remain the same, just keep an eye out for the new branding later in the month!

Bankwest continues support of Broker Channel

Bankwest is implementing changes to its broker commission payment model to align itself with evolving industry practice and regulator expectations.

The changes, which will be effective from 1 July 2018 include:

  • The reintroduction of Year 1 trail commission.
  • The reduction of trail commissions in year 3 to 0.15% and from year 5 and onwards to 0.20%.
  • The adoption of the Combined Industry Forum (CIF) recommendations on paying commissions on utilised funds and net of offset

There will be no changes to the up-front commission rate.

Commenting on the changes, Bankwest GM for Third Party, Ian Rakhit said: "Bankwest has been a very long-standing supporter of the Broker industry, going back to the very start some four decades ago and we remain committed to Brokers as a channel of choice for customers.

"We support the current up-front and trail model as well as the improvements to the model outlined in the ASIC review and the Combined Industry Forum (CIF) recommendations.

"We understand the lack of Year 1 trail has been outstanding for some time and we are pleased to reintroduce this to bring us back in line with the market.
"Our contract stipulates that trail commissions represent payment for continuous customer maintenance and services and we believe trail remains warranted for Brokers to ensure ongoing support is provided to customers they refer to Bankwest."

All amounts in the table below are exclusive of GST:

New NAB Broker commission

New commission available for NAB QuickBiz Loans and NAB QuickBiz Overdrafts

We are excited to let you know of the new Commission rates available on NAB QuickBiz Loans and NAB QuickBiz Overdrafts from today, Monday 30 April 2018. NAB is continuing to build out its digital capability for Brokers. NAB QuickBiz can help Brokers' customers access up to $100,000 in unsecured business financing. NAB QuickBiz will be available from nabbroker.com.au from tomorrow.

These new Commission rates will be included in Schedule 5 of the NAB Broker Agreement. We will provide the updated drafting of the revised Schedule 5 in due course. Please see table below for the new Commission rates disclosure.

Updated Schedule 5 Commission disclosure

The following new Commission Rates will be included in the Commissions Rate table in Schedule 5:

Upfront Commission Rate Trail Commission Rate (% p.a.)

NAB QuickBiz Loan

NAB QuickBiz Overdraft

2.2%, ink of GST Nil

The NAB Broker Product Schedule available in the NAB Broker Guide available on NABBroker.com.au will be updated to include these changes.

In the meantime, please retain this letter as a short-term variation to Schedule 5 of the NAB Broker Agreement.

Electronic Lodgement for Small Business

NAB has launched Apply Online for small business lending - a marketing-leading innovation for your brokers. This means that over the next couple of weeks brokers will be able to lodge small business deals up to $2 million via Apply Online in your Aggregator software. Our team has been working closely with your team to launch this capability, please also reach out to John Shillington John.A.Shillington@nab.com.au 0459 821 319 if you need further information.

Bluestones has mass Rate Cuts

Bluestone has officially announced that it has now entered the near prime lending space. In an ambitious and progressive step, they've reduced rates by up to 225 basis points across their product suite.

You can download their latest product matrix which includes all of their updated rates HERE.

With rates from 4.29% p.a. (comparison rate 4.67% p.a.), some of the features of their near prime products include:

  • Alt-Doc loans with verification through BAS, bank statements or accountant's letter
  • Unlimited debt consolidations
  • Accepting alternative income streams
  • Defaults listed >2 years and <$1000 ignored
  • Mortgages arrears <1 payment accepted
  • Paying out tax debts, business debts and private mortgages
  • Probation, casuals and short-term employment

Their progression into the near prime space is a natural extension of their specialist lending focus, and comes at a time when more and more self-employed, PAYG and credit impaired customers are affected by the tightening criteria of the mainstream lenders. Their appetite for solution-based lending and passion to get the deal done hasn't changed.

Bluestone is very much looking forward to speaking with you directly about their new rates and providing more solutions for your customers. If you have any questions, please contact your Bluestone BDM.

Coffee and Compliance

On Thursday 8th of May come share a coffee with your Vow Financial representatives, lenders and other Vow brokers for a morning of lender information, regulatory updates.

Click Here for the invite

Vow Flexi Options

The Vow Flexi Options funded by Vow Group lending offers a range of solutions for all your clients.

The main features of this product are:

  • NRAS Property Refinance / Purchase
  • Bridging Finance, servicing on End Debt
  • Investment Lending, I/O or P&I
  • Owner Occupied finance
  • Construction Finance
  • No Credit Scoring below 80% LVR
  • Alt Doc Applications
  • Alt Doc Construction Finance
  • 100% Offset Account Available ($10p/m account keeping fee applicable)
  • Currently a 48hour turnaround time for approvals.

We are currently offer a special rate of 3.89% for investor P&I loans up to an LVR of 80%.

However, we are pleased to say that we have improved our P&I Owner-Occupied Pricing with the rates showing below:

LVR Rate
0 - 80% 3.69%
80.01% - 90% 3.94%

For any scenarios / questions about any of our products please email scenarios@grouplending.com.au