Very often when you first start in your mortgage broking profession, you get worried and tend to miss out getting all the necessary information required to get the loan processed. You showed your inexperience and feel like a fool going back and asking the client again for more information.
Below is a simple interview guide for gathering loan information that was developed during a broker training session in early 2004. Many thanks goes to that group members and in particular Ms. Helen Carr for coming up with the acronyms.
I have used it early in my mortgage career and find that it helps me to remember information I need to gather from the clients. It is my wish that it may help new people beginning their mortgage broking career.
1) Go by with the clients the following points:
P – Purpose of the loan
A – estimate four Cs (Capacity, Credit, Character & Collateral)
I – Income, Employment & Family
S – Savings – How much
L – Liability, Personal loans, credit card limits
E – Errors in payment, problems, defaults
Y – How much do you want to borrow
2) Ask clients if they have:
S – Seen any products they like
W – What do you want the loan do do for you, Features requirements – redraw, switching, divided
E – Example – Give example on types of loan: variable, fixed, introductory, specialized
S -Serviceability assesment
AP – Any points you want me to go by or I miss
S – How soon you want the loan
3) Complete the application for the clients and ask them to initial the forms:
C – Complete the loan application
I – Identification: need 100 points verification
D – Disclosure, Privacy, Loan Quote, Finance Broker Contract, CRS
D – place Bond if no 10% place ( Premium ~ 1.2%)
Have fun with the acronyms and best wishes to your mortgage broking career.