Who is Ausec Finance?
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Ausec Finance is Australia's leading provider of short term 1st mortgage finance backed by institutional funding.
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What exactly is short term finance?
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Predominately short term finance loans are for business or investment use where the borrower has a need for the
funds quickly but only for a short period of time. Short term normally means less than 12 months. Turnaround times
are paramount as are fees. Most banks have establishment and early payout fees – Ausec Finances short term loans do not.
For example you could take a loan with us for 6 months and pay it out after 4 and only pay for 4 months interest.
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Why would I use Ausec Finance?
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Sometimes people need money now and are unable to wait the 30-60 days it takes for most lending institutions to advance funds or simply just don't have the right paper work or tax returns that are demanded.
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What are the advantages for it for a broker’s business?
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- Additional income – when business is tight, all brokers should be looking at alternatives to compliment their income stream away from their primary source.
- Brokers can call the decision makers anytime and discuss the loan and or the process.
- To be able to offer something that your competitors don’t.
- Fulfill all your clients needs by having short term funding available.
- Short term lending deals are much easier and quicker to submit than traditional loans.
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What makes it an attractive add-on product for brokers to sell?
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It’s easy to refer. It’s easy to pick up the phone anytime to discuss with the credit manager. It’s different from your competitors.
It makes sense when a borrower has a genuine need. It generates commission that may have previously not been earned.
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How does the commission structure on short term loans differ from that of a standard resi home loan?
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Commissions are agreed between borrower and introducer by way of a mandate and broker fees are paid at settlement of the loan.
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What sector of the market has the most demand for it?
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Primarily the business and investment sector. All finance brokers would see at least 1 scenario per month but unfortunately because they are
not familiar with the product may miss those opportunities. Short term lending is a great way to diversify your income stream in a tough economic climate.
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How quickly can Ausec Finance have money available?
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Ausec Finance specialises in quick short term money. As a result we are able to settle mortgages within 5 day and have money cleared and in your bank account.
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What are the fees and charges?
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Ausec Finance does not charge an application fee or settlement fee. It does however in some instances chare a valuation fee and in all cases there will be legal fees and Government charges.
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Are there any early payout penalties?
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The minimum loan term is 1 month. After this a loan can be discharged at anytime with no penalties.
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What types of security do you accept?
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Ausec Finance accepts first mortgages on residential, commercial and industrial properties.
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How do I make repayments?
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Repayments are either deducted from the loan amount at settlement or capitalised into the loan amount.
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Why does the short term lending industry have an alleged adverse reputation?
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Short term loans originated via solicitors funds and casual private lenders. The loans were not well managed nor were there any compliance requirements.
The industry has changed significantly and some of the factors that make Ausec popular are: we are a public company, we are externally audited, we have clear
compliance plans, we have no loan establishment or early payout fee structures and a clear complaints process.
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How do changing market conditions affect its supply and demand?
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Like all forms of finance when market conditions tighten so do short term funders. Good quality funders like Ausec have been around for 5 years or
more and will continue to do so because they demonstrate best practice on a consistent level. If you align yourself with a high quality funder then
supply will never be an issue.
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