Mortgage Nature and Scope of Advice Default Template
Add this to Trail’s Organisation Disclosure Settings
Providers and Advice Type
Providers I work with:
ANZ, ASB, BNZ, Westpac, Kiwibank, ASAP Finance, Avanti, Basecorp, Cooperative Bank, Bluestone, DBR, First Mortgage Trust, Heartland Bank, Liberty, Pepper Money, Prospa, Resimac, SBS, TSB, AIA Go Home Loans and Southern Cross Partners.
We do not provide financial advice services relating to:
Legal or estate planning (e.g. wills, trusts, contracts, etc.)
General Insurance advice
Personal Insurance advice
Investment products (e.g. shares, bonds, managed funds etc.)
I can refer you to any of these specialist advice providers or you can consult an appropriate specialist if you would like advice on the above.
Commissions or other Incentives
I may receive commissions at settlement from the relevant lender if you choose to take out a mortgage following my advice. The commissions are between 0.45% and 0.85% of the initial mortgage balance or amount funded. I may also receive .15% to 0.2% of the mortgage balance (paid monthly)
For some non-bank or second/third-tier lenders, a fee is required to be charged as no commission is paid. All clients are made aware of this well before signing and documentation. The typical adviser charge for a non-bank lender is 1% of the mortgage plus any fees by the finance company.
The commission I receive is shared with Mortgage Lab for providing me with compliance support, training, and back-office support.
Conflicts of Interest
I am paid commissions by lenders when a mortgage settles and in some cases at the mortgage anniversary each year. I ensure that I prioritise your interests by following an advice process that considers your circumstances and goals. I research suitable products and providers to ensure the advice meets your needs.
I also undergo annual training on how to manage any conflicts of interest and record any conflicts in a register that we review and manage.
In general, we do not receive any additional benefits (holidays or gifts) from the lenders with the commission being the only remuneration received.
Mortgage Lab is subject to a yearly audit and compliance reviews to ensure we meet our obligations while doing right by our clients.
Fees and Expenses
I do not charge you a fee if you decide to take a loan with a main bank lender. The lender may pay us a commission if you decide to take up our advice and when your loan settles. However, I may charge you for the financial advice that I provide if you elect not to continue engaging Mortgage Lab, cancel, repay or refinance your mortgage within the first 27 months after it settles. We will use the following formula to calculate the fee:
Fee for our financial advice = up to 12 hours of work calculated at $250 per hour or the amount of clawback from the lender, whichever is the lesser.
We will invoice you for this fee and it will be payable on the 20th of the following month. Details of how to make payment will be included on the invoice.
For more information on this, please see our FAQ: https://mortgagelab.co.nz/ufaqs/how-much-do-mortgage-brokers-charge/
Reliability History
A reliability event is something that may materially influence your decision on seeking advice from Mortgage Lab or from me. Some examples of reliability events are legal proceedings against me or if I had been bankrupt in the last four years.
Neither Mortgage Lab nor I have been subject to a reliability event.
– Updated as of 02/07/2024