The major banks have agreed that an appropriately crafted best interests’ duty for brokers, different to that applied to financial advisers, would help preserve the integrity of the third-party channel.
The Advisor Nov 2018
Credify delivers a comprehensive solution to the borrowing and lending sphere. Credify is Australia’s first and only holistic loan affordability and sustainability platform.
Credify delivers this exactly – the only completely neutral affordability and sustainability tool available to Australians today.
For Brokers:
- Credify allows you to provide a True Advice Model – a Fee for Service offering for your clients, giving you the opportunity to create additional income streams both as upfront and ongoing fees (replacing the loss of trail income)
- Credify enhances compliance – by using best practice to verify customers affordability and sustainability in the long term that they can afford the loan. This in turn allows the broker to provide a greater level of service, enhancing the longevity of the client and improving Client Retention.
- Credify helps you replace potential lost income from commissions with a genuine fee for service dimension.
For Lenders:
- Credify’s comprehensive reporting ensures best practice in responsible lending at all levels – lenders, brokers, and borrowers.
- Credify guarantees all parties are more informed in the borrowing process – including more accountability on the part of the borrower.
- Lenders have greater confidence in the due diligence process – that the broker or officer has assessed the affordability of all loans and all likely cashflows, over all time frames.
For Borrowers:
- Comfort – yes, they can afford the loan or no, they can’t. Borrowers gain piece of mind that they can afford and sustain any other loans they intend to take on for the life of their current loan.
- Certainty – the Loan Portfolio projection indicates affordability for all loans- not just the one being applied for at that time.
- Future proofing – Credify considers future “what if” scenarios, such as borrowing again for a new car or investment, redrawing for renovations or even family planning. Credify can “test” potential affordability and sustainability, helping informed decisions to be made.
- Credify gives the borrower greater confidence in their capacity to borrow and service loans. Borrowers can see in advance the likely impact or consequences of their borrowing decisions.
For Regulators:
- Assists in responsible lending – Credify is the only platform that considers both present affordability and future sustainability.
- Credify provides another level for Brokers and Lenders to demonstrate due diligence in their loan applications and approvals process.
- Transparency and reducing future surprises – due to the loan portfolio and “what if “projections, Credify creates a transparent record of the affordability and sustainability of all loans held by a borrower.
- Confidence that the industry has provided the optimum calculations and projections to ensure the most likely positive outcome for the borrower.