| How long have Better Choice Home Loans been operating? | Better Choice Home Loans Pty Limited was formed in 1991 and is the appointed manager for Better Choice Home Loans.
Better Choice Home Loans is an important part of a group of mortgage originators and managers which have been managing and originating mortgages for more than 50 years. |
| Who is eligible? | Loans are available for owner occupiers, investors, people wishing to refinance existing loans or to build that dream home. We can even arrange Commercial Loans! |
| How are we paid? | Management fees are paid to Better Choice Home Loans Pty. Limited by the funding institutions for managing and originating the loans. |
| What is LVR? | LVR is an abbreviation for Loan to Valuation Ratio. This ratio is the size of the required mortgage compared to the property value. Eg. your property is valued at $500,000, and your loan is $400,000, the LVR is 80% |
| What is LMI? | LMI is Lenders Mortgage Insurance. Mortgage Insurance generally applies to a loan if you borrow above 80% of the value of your security property. It is an additional cost to the borrower and does not protect the borrower in anyway it protects the lender against any losses. |
| Is all of my information kept private? | Yes, we do not share any of your personal information with anyone, except as permitted by law or as required to assess and approve any loan application. A copy of our Privacy Disclosure Statement is available with loan application or upon request. |
| What information do I need to provide when I apply for a loan? | Information required with a loan application can vary from one applicant to another, so please check with us, however following is a guide of what may be required
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| How can I pay my mortgage sooner? | There are numerous ways to repay your mortgage sooner from increasing your repayments, changing frequency of repayments or even refinancing and/or consolidating debts. Please contact us to discuss these options further. |
| What is a Comparison Rate Schedule? | The Comparison Rate takes into account the interest rate AND all ascertainable fees and charges for a particular loan product and gives you and ‘Average Annualised Percentage Rate’, this then allows you compare loans based on their ‘real’ cost. |
| What is a Direct Debit? | A Direct Debit is where the lender debits a payment directly from a clients nominated bank account. Payments can usually be made weekly, fortnightly or monthly. |
| What is Arrears? | Your loan is in arrears when you have overdue loan repayments. Should this ever happen it is imperative that you contact your mortgage manager as soon as possible. |
| What is Equity in my property? | Equity is the difference between the property value and the amount of any Lenders interest over the property. Eg. property value $450,000, with a mortgage of $300,000 – equity is $150,000. |
| What is a redraw facility? | When you make extra repayments to your mortgage you can usually access the additional repayments made, this is what it called a redraw. |
| What is a split loan/facility? | A split loan/facility allows the borrowers to split their mortgage into a number of different loan products. Eg. Split your mortgage between and Variable and Fixed rate product, or maybe split your mortgage between a Term Loan and Line of Credit. There are numerous ways you can choose to split your mortgage, please do not hesitate to contact us for more information. |
| Who is the Mortgagee? | The Bank/Trustee |
| Who is the Mortgagor? | The Borrower |