Traditionally, borrowers have looked to the banks to be able to meet their home loan needs, however today consumers are looking at all possible lenders as non-bank options can be a cheaper and more economical option for borrowers.
When choosing a lender, consumers should look at not only the institution, but the product features that the institution is offering both up front and for the continuation of the loan.
It is quite common for borrowers to be concerned about lending from a non-bank provider, however such worry is unfounded. Both banks and non-bank lenders must comply with laws and industry codes that affect banking and finance, such as the National Consumer Credit Protection Law, Anti-Money Laundering and Counter-Terrorism Financing Law, Australia Consumer Law, Australian Securities and Investments Commission Law, Privacy Law and ePayments Code.
It is vital that you feel safe with the lender you chose to borrow from as a home loan is a big decision. You as the consumer have choice, and you must consider all options for your home loan needs. Competition between the bank and non-bank institutions is fierce and you have to make sure that you choose the right organisation who can offer you personalised service and a loan product that has all the works at low costs.
In comparison with banks, non-bank lenders can offer higher service levels, in addition to competitive products with market leading rates and low set up and ongoing costs.
Non-bank lenders are often more flexible meeting your needs and they will attempt to accommodate all scenarios and situations, due to their personalised service and dedication to each application. For borrowers, it isn’t just about the best interest rate and features, it’s also about finding a lender who can offer personalised service and special attention to ensure that consumers are valued and happy.
Tags: applying for a home loan