Trail Commissions NOW AVAILABLE!!!

From July 26, 2010 HomeSec Finance Express announce that they now give the option to brokers to load a trail onto each deal.

This trail commission can be anything from 0.2% - 1.0% per month. Thats right... not per year.... PER MONTH! So on a 3 month loan, that equates to an additional 3% of the loan amount PAID TO YOU! This is in addition to your brokerage!

To explain the in's and out's, we have compiled the following info...

HOW DO I LOAD A TRAIL COMMISSION?  A. Simply tell us what trail percentage you are wanting when you submit an application. (in addition to your normal brokerage that you would charge) Eg: you may charge a 5% brokerage, and a 0.5pcm trail.

WHEN IS MY TRAIL PAID?   A. Your up front brokerage is still paid at settment, however your trail is paid the day the loan is repaid. So if it is a 3 month loan, you receive your trail commission in 3 months from the date when it first settles.

DOES MY TRAIL INCREASE THE RATE TO THE CLIENT?  A. All privately funded loans add brokerages and other costs to the base rate. In our case, our base rate is 6%pcm, and it is up to you how much you wish to load that rate... up to a maximum of an additional 1%. So if you want the full 1%pcm trail, then the rate to the client becomes 7%pcm. We have found that if brokers are providing first class service to their customers, selling a slightly higher rate is of no issue. Caveat loans are all about service, speed, and convenience... not rate.

DO I FORFIET MY TRAIL IF THE LOAN GOES LONGER THAN THE ORIGINAL TERM? A. NO, if the loan runs overtime due to a valid delay, or if the client extends by paying an additional months interest, you do not forfiet your trail.... in fact you get paid for the additional time as well! However if the loan goes into default, regrettably you do lose your trail as we are also then exposed to a potential loss, and a large legal bill. The idea of a trail on a caveat loan is to give a financial incentive to the broker to ensure the loan is repaid.

Some brokers may elect not to load a trail for themselves, however for those who do, they will find it does wonders for cashflow.

So to take advantage of trails on caveat loans, simply tell us what trail you want on your next caveat loan submission, and we will build it into the letter of offer. It's that simple!!

Call now to find out more (03) 9017 6611