Not so sure what a broker does, or how to get one? Luckily Nifty has done the research for you! Finding the right broker can be stressful, especially finding the right one for you and your circumstances.
In this article, we will run through how you might be able to use a broker to your advantage and what exactly you can use them for. So, keep reading to get the best tips on how a broker can benefit you and your needs. For a helpful read, check out another one of our articles here: Craving More Me Time? Work From Home Jobs Are The Ticket To A Happier You.
There are a number of different things you can utilise brokers for, from investing to insurance, and real estate. But what exactly do they do? Basically, a broker is the middleman between the borrower (that’s you) and the lender.
Ultimately, a broker is meant to help you find a loan that suits your needs and circumstances. To do this, they’ll use their knowledge and experience across a broad range of lenders to recommend the right options for your needs. Brokers are specially trained and licensed and, if you choose the right one, they are great negotiators who can find you the lowest possible prices based on your circumstances.
Typically, a finance broker will work one-on-one with their clients. They analyse their client’s financial situations by also taking into consideration their financial history, which helps them to verify income and credit information. Once they have all of the information they need, they will sift through the available options until they find an appropriate loan to meet their client’s needs.
Worried a broker may be too pricey? If you choose the right one, it can actually be an affordable option. Most brokers (but not all) earn money on commissions paid by the lender and rely solely on this. As a result, they give you their service free of charge. However, this is something that you should always double-check before you settle on a broker. A reputable broker will disclose how they are paid for their services clearly from the outset.
It is definitely beneficial to do some research on your own before meeting with a broker. Look into the loan you’re after and try and get a sense of the average rates available. Online tools will allow you to compare rates and provide you with extra knowledge.
A good starting point is to give some consideration to the types of questions you might want to ask as well. You’ll definitely want to ask what loans they specialise in and what fees may be attached to certain loans. Ultimately, it’s always best to prepare your questions in advance to get more specific information from your broker.
To give you a good indication of a broker’s knowledge and expertise, we also recommend researching your broker. Check out their web pages and social media and highlight topics to discuss with them. You can also find out if they specialise in any specific loans that suit your needs.
Now that you have a better understanding of what a broker does and how they can help you make the right choice, here are a few reasons why you should consider using an expert broker when applying for a loan.
Due to the volume of business generated, brokers have access to great deals in terms of interest rates, repayment amounts and fees. Brokers are offered loans on a wholesale basis from lenders and therefore can offer the best rates available on the market. Not only that, brokers have access to a large panel of lenders making it easier for you to find the best option for you.
The best part about a broker is that they do all the work and research for you. They will take the time to find the best products that are on the market and work directly with the borrower. However, if you find the paperwork a little overwhelming, don’t stress. A good broker will make sure you have a full understanding of the terms and conditions before signing the bottom line. When comparing different lenders it can be easy to miss a few things. Your broker is here to help! They can steer you away from certain lenders who have hidden fees which sometimes can be buried in their contracts. Your broker will thoroughly explain the various subtleties of the different lenders and loan options which could save you a great amount of money.
Brokers are there to keep you updated at each stage of your application and advise you throughout the process. They are there to ensure you are kept informed throughout the whole process, enabling you to stay focused on finding your new home/ car.
Every time you apply for a loan and are unsuccessful, this can leave a mark on your credit history. Brokers will identify to you which lenders your application is most likely to be successful with. Therefore, reducing the chances of you being turned down numerous times.
Good brokers have many years of experience in the credit and finance industry. As a result, they know how to get the best loans and how to get your application approved! Not only that but they can speed up your application process. Brokers who have built long-lasting relationships with lenders can make application turnaround times faster than going to a lender directly.
Now, once you’ve decided which broker is the right one for you, here’s what to ask them.
It’s good to know who and how large your broker’s lender panel is. It’s also a good idea to check the credibility and experience of your broker before going ahead.
Brokers are most often paid by lenders, however sometimes by borrowers. Don’t be afraid to ask what their lender paid compensation rate may be or what their borrower-paid compensation rate is. Make sure all fees are explained to you before making decisions.
Feel free to ask your broker to explain all fees and hidden costs to you so you have a full understanding before accepting a loan that they recommend.
How can Nifty help?
At nifty, we specialise in providing easy loans for all Australians. We’ve made it our mission to give all Aussies a fair go when it comes to financing. You may already know us as your short term lender, and we’re proud to announce that we have branched out into finding car loan providers. We now also aim to put you in touch with lenders who offer car loans!
Are you looking for car finance? Well, we have some great news for you! The brokers we work with think alike. Quick, easy applications and flexible loan terms.
Let’s talk more about our broker-finding service!
Diversifi is our brokerage of choice and one of Australia leading finance aggregation companies. They are an established and highly awarded finance Broking Company, supported by Choice Aggregation Services.
Using state-of-the-art software, the Diversifi team can efficiently find finance solutions to match your needs. All brokers have extensive experience in the finance sector and commit to ongoing training, in addition to holding Australian Credit Licences.
Of course, we’d like to help everyone, however, our car brokered car loan service works slightly differently than our personal loans. Our brokers require that you meet the following requirements before applying:
So, if that’s a yes to the above apply now through Nifty Loans partnered brokers!
Nifty’s broker-finding service gives you flexibility. You will be given options for how much you need for your car loan, and how long you need to repay the loan.
No matter what the occasion is, Nifty has your back. We want to help give all Australians a fair go at finding easy car loans.Apply Now
Since founding Nifty in 2016, Bell has continued to make waves within the local financial sector for his continued ambition and willingness to adopt emerging technologies.Read More