Financial Gain Australia

Don't Deal With Cowboys

The Mortgage Industry Association of Australia (MIAA) has warned home loan borrowers to check the bona fides of any mortgage professional they deal with. The MIAA says borrowers at any stage of the mortgage process need to be more discerning with the decisions they make and the mortgage professional they use.

MIAA chief executive Phil Naylor says there have been instances where mortgage brokers and lenders claim to be an MIAA member, when in fact they are not. Dealing with a broker who does not have their best interests at heart or is not adequately qualified can have a devastating impact on a borrower’s finances, he says. “People should check our website or call their nearest MIAA state office for clarification of any mortgage professional’s membership status,” Naylor said.

Dealing with a broker who is a member of the MIAA offers borrowers a level of consumer protection. Members have some level of industry training, are committed to a code of practice and are subject to an internal disciplinary tribunal which has the power to censure, suspend and expel members on the basis of misconduct. Borrowers who do use an MIAA member also have access to the Mortgage Industry Ombudsman Service as a last resort.

All brokers who work with Financial Gain Australia are members of the MIAA

Australia’s rapidly growing population of millionaires hold a staggering 40% of their fortunes in property, according to new research from Merrill Lynch and CapGemini, which shows wealth in the Asia Pacific region has now rebounded to pre-GFC levels.

In fact the Herald Sun reported that there are a RECORD number of everyday Australians joining the millionaires’ club, up to 15 new millionaires a day and mostly on the back of Real Estate.

The Herald Sun reported that Capital city property prices rose upwards of 20 per cent in the 12 months to April 2009, elevating many Australians to millionaire status on their bricks and mortar alone.

Australia’s wealthy appear to be using property as a sort of replacement for fixed income assets such as bonds, which are standard part of the portfolios of the wealthy in the US and Europe but are harder to access in Australia.

THE Reserve Bank’s decision to sit on its hands for another month does not change the prospect that interest rates will soon head higher.

Melbourne Cup day on November 2 may well be the first increase, followed by several more increases next year.

In his statement after Tuesday’s monthly board meeting, Glenn Stevens stuck to his central scenario.

The Chinese growth story remains on track even amid deepening pessimism in the US and as Europe’s sovereign debt and banking crisis spreads to Ireland.

That means the already “very high” prices for our iron ore and coal exports will boost national income “very substantially” as they flow into mining company profits, dividends, taxes and wages.

This also will underpin the huge wave of mining and energy project construction.

In a nutshell this will mean higher interest rates for those of us with mortgages and the probability of a stronger dollar.

What’s happening and when?

Westpac recently made the difficult decision to raise our standard variable home loan interest rate by 0.45% p.a. This change took effect from 4 December 2009.
Why we raised rates above the Reserve Bank of Australia (RBA) increase.

The money we lend to our customers comes from two sources. Firstly from customers who place their deposits with us, and secondly from borrowing on the wholesale money markets.

The reality is that the cost of Westpac’s wholesale term funding isn’t just governed by the cash rate set by the RBA, and has increased substantially due to the continued pressures of the economic climate. In fact, the cost of bank funds is significantly higher than 12 months ago. We’ve absorbed a significant amount of these extra costs, but the current conditions require us to act independently of the RBA.
Why we decided to raise our standard variable home loan interest rate.

The decision to raise our rate by 0.45% wasn’t taken lightly. In looking at the amount of the increase, we wanted to be fair to our customers, at the same time ensuring we maintain a sustainable business model.
Who to talk to if you have more questions.

If you have any more questions, please talk to your local Bank Manager in branch, or call us on 1300 368 765.

source http://www.westpac.com.au

Equipment Finance and Leasing

At Financial Gain we are dedicated to understanding and supporting the needs of businesses and offer comprehensive commercial motor vehicle and plant & equipment financing solutions where leasing options are tailored to suit your needs.

Our experience and access to a wide range of lenders means we can provide finance for motor vehicles and business equipment. Ranging from office equipment to diamond drills or even a helicopter.