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Interested in a cool $150? Update your Medicare account details

Medicare customers are being urged to update their bank account details to see if they’re entitled to a share of more than $110 million in unclaimed rebates. Here’s how to do so online in a few minutes.

And no, this is not one of those pesky scams doing the rounds! But we’ll touch upon that later.

The government released an interesting stat this week: almost 670,000 people have not provided Medicare with their bank details, which has resulted in more than $110 million in unclaimed rebates.

As such, the average amount owed to each individual is about $150 – a decent injection that could help you pay off your mortgage, an upcoming bill, or a nice Valentine’s Day dinner!

Some people are missing out on far more – and often they’re the people who need it most – if they are regular visitors to their doctor or have had treatment for a serious medical condition. So make sure you let your friends and loved ones know too.

Minister for Health Greg Hunt put out a statement this week encouraging residents to update their bank account details so they could start receiving their cash rebates.

“It only takes a couple of minutes, and the easiest way to update your details is by using one of the Australian Government’s digital channels, such as the Medicare Express Plus app, or through your myGov account,” he says.

Is that it?

Yup, that’s it.

Once you’ve logged into your account and updated your details Mr Hunt says Medicare will take care of the rest.

“The money you’re owed will be deposited in your account in a matter of days,” he explains.

“My advice is to set aside a couple of minutes, to do what is a really simple task that will ensure you receive what you are entitled to quickly and easily.”

Be wary of scammers!

It’s not lost on us that this sounds like a scam. And guess what? There are actually scammers out there trying to take advantage of this rebate payment by getting in touch with people directly over the phone, via SMS, or email.

The scammers are posing as Medicare representatives and contacting people asking for their bank account details, so you need to remain vigilant.

To avoid falling victim: don’t click on any links in emails or texts as they may take you to a fake website. Instead, go directly to www.my.gov.au to update your account.

“As recently as late last year, scammers were actively targeting people through SMS messages, that urged them to click on a hyperlink to claim their outstanding Medicare rebates,” says Minister for Human Services and Digital Transformation Michael Keenan.

“While the department does call, SMS, or email people, it never includes hyperlinks in emails or text messages.”

For more information on how to set up a Medicare online account, visit www.humanservices.gov.au/medicareonline

Social media teaser: Are your Medicare banking account details up to date? You could be entitled to a share of more than $110 million in unclaimed rebates, with the average amount $150.

Is your interest-only loan about to end?

It’s the end of the road for 900,000 borrowers on interest-only loans, as they’ll be automatically switched to principal and interest loans this year. Now’s the time to check whether or not you should start considering other options.

Back in 2014-15 – at the height of the property boom – some 900,000 interest-only loans were taken out, according to reports quoting an analysis by Finder.

Once the five year period on these loans is up (which is imminent for some borrowers) these loans will automatically jump to principal and interest loans.

The analysis finds that this will add an extra $400 a month to a borrower’s repayments if they have a loan of $316,000 – that’s almost $5000 a year.

Additionally, while many economists now predict the RBA will keep rates on hold throughout 2019 – just like they did last year – that doesn’t mean the banks will follow suit.

In fact, every single one of the Big 4 Banks increased interest rates in 2018 and could do so again this year, which could hit mortgage holders even harder.

The smaller players are also moving on rates. Bank of Queensland announced an increase of rates by up to 18 basis points on more than 20 home loan products, while HomeState Finance – a South Australian government-backed statutory authority – is also raising rates on their new seniors equity loan rate by 15 basis points to 6.09%.

So what are my options?

Ok, so if you took out an interest-only loan during this period, first and foremost you should check when it’s due to end.

Now if it is, the obvious option you have at your disposal is to cut back on some other expenses in your life to make ends meet.

However, that’s not necessarily your best option.

Here are three other options available to you that won’t result in you having to make so many compromises elsewhere in life (HINT: we can help you with all three!):

Extend it: Sure, the 5 year period might be ending, but we can always speak to your lender about extending the interest-only period for you.

Negotiate it: If the lender insists on you moving over to principal and interest, it never hurts to ask for their lowest rate possible (which they don’t always advertise).

Switch it: If your lender won’t budge, or you simply want to change things up, we can help you find a principal and interest rate with a lender that’s offering a more competitive deal. You may still have to pay more each month, but your repayments should be lower than those you face when your current loan switches over to principle and interest.

Final word

As they say, forewarned is forearmed.

So if your interest-only loan is rolling over to principal and interest soon, don’t just accept it. Act now.

Get in touch with us and we’ll be more than happy to run through your options with you and help you switch to a more competitive alternative.

Property buyers are increasingly turning to mortgage brokers

Excuse the humble brag, but property buyers are turning to mortgage brokers in record numbers. Here’s why that’s great news for the both of us.

Ok, ok, sure, we know we’re beating our own drum a little here.

But there’s a good reason why, we promise.

Firstly, it’s fantastic to see that even with all the royal commission dominating headlines and consumer confidence in the big banks tanking in the first half of this year, our industry is proving worthy of people’s trust.

During the March 2019 quarter, mortgage brokers settled an unprecedented 59.7% of all residential home loans.

That’s up from 53.6% in 2016 and 55.7 per cent in 2017 over the same period.

MFAA CEO Mike Felton points out that the result reflects not only the trust and confidence customers have in their mortgage broker, but the systemic importance of the mortgage broking industry.

“As banks have persisted in making it more difficult to secure a loan, turning many would-be borrowers away, consumers have continued to increasingly utilise the broker channel for experience, expertise and greater market choice to secure access to credit,” Mr Felton says.

Take that, banks

The figures emerge as the big banks continually try to curb the effectiveness of mortgage brokers. And it doesn’t take Einstein to figure out why: mortgage brokers promote a more competitive lending market at their expense.

According to Deloitte Access Economics, over the past three decades brokers have contributed to the fall in net interest margin for banks of over 3% points. This saves you $300,000 on a $500,000 30-year home loan (based on an interest rate fall from 7% to 4% pa).

Furthermore, on average, mortgage brokers have 34 lenders on their panel, and 28% of the time arrange residential loans through lenders other than the big four banks.

“In addition to providing customers access to a panel of 34 lenders on average, brokers are ideally positioned to help customers, especially those with more complex lending scenarios, to understand the ever-evolving application process and provide the information necessary to meet changing lender requirements,” adds Mr Felton.

Current model under threat

There’s been a recent push by at least one of the big four banks to make the customers pay for the services of a mortgage broker. If they had their way, that would be an industry-wide standard.

However, news that more and more customers are flocking to mortgage brokers under the current system will hopefully help us both out in the long run.

Better yet, a recent report shows that 9 out of 10 customers are satisfied with the services provided by mortgage brokers, so we sincerely thank you for your support.

Got a minute help us out a little more?

Besides continuing to use our services, and recommending us to family and friends, another way you can support us is by contacting your local MP to let them know you’re happy with the mortgage broking service we’re currently providing.

By letting your local Federal Member of Parliament know this you can help prevent the cost of our future services being transferred from the bank over to you – and you’ll also be showing your support for us.

If you’d like any more information on this issue don’t hesitate to get in touch. We’d love to speak to you more about it.

12 reasons you should see a broker for car finance

We’ve all heard the horror stories about a mechanically-challenged friend buying a car and it turning out to be an absolute lemon.

Well, the truth is that sourcing finance for the car isn’t all too dissimilar. But here are 12 reasons why you won’t end up with a lemon of a loan with us!

  1. Using a finance broker doesn’t cost you a penny

Using a car finance broker is free. We won’t charge you for any of the work we do on your behalf. Also, all enquiries are free and there’s absolutely no obligation to go ahead with any of the options we present to you.

While it’s true we work on a commission basis from the lender, we work for you. Not the car dealership. Not the bank. You!

If we don’t find you a loan product that you’re completely happy with, then you’ll go elsewhere and we don’t get paid. And fair enough!

  1. Access to possible discounts

We don’t want to brag, but negotiating with lenders is our thing. We deal with lenders on a daily basis and know just how hard to push when sourcing you a loan. This can result in discounted interest rates for you.

  1. Time is money

Using a finance broker saves you time. And as we all know time = money.

By having us go out and negotiate on your behalf it can save you countless hours researching interest rates and repayments, and then getting in touch and negotiating with various banks and lenders.

  1. We’ve got your best interests at heart

It’s our number one priority to make you happy by helping you source a loan that suits your needs.

It’s really important for our business and reputation that we nail our job. The big banks don’t have this same incentive to ensure you’re completely satisfied with the quality of their service. Neither do the car dealerships!

  1. Pay less for the vehicle

There’s this little trick car dealerships like to use – the old ‘Drive away, 0% finance to pay’.

But all too often the dealerships sell these vehicles at inflated prices.

For example, a car that has a price tag of $24,990 with a 0% finance deal might sound great, but the automaker would most likely be willing to sell it to you upfront for $19,990. Therefore, you can actually end up paying $1000-$2000 less if you take out a competitive loan through us.

  1. Avoid hidden nasties

Did you know that 80% of people don’t read Product Disclosure Statements?

You can’t exactly blame them. If you read every PDS, T&Cs and Privacy Policy you came across it would literally take you weeks to complete each year.

Instead, by using us we can give you the low down on the important points in the PDS to help you avoid getting stung by hidden nasties.

  1. Access to dozens of lenders

We’ve got access to dozens of lenders on the market to help you score a competitive rate. Not only that, we’ve got our fingers on the pulse when it comes to the deals that lenders are offering.

You won’t have access to this many lenders if you deal directly with a bank or car dealership.

  1. Get a loan suited to your needs

After finding out a little more about your situation, we’ll be able to get in touch with our panel of lenders to find a loan that’s suited to your personal needs.

This can even include finding a vehicle that’s suited to your family’s needs, if you need us to do so!

  1. Got less than perfect credit rating?

If you’ve run into a bit of credit trouble in the past, we can still help you source a line of credit for your vehicle. We’ve got good experience in this department and know which lenders to approach to help you get a loan.

  1. Convenience is king

We take all of the legwork out of sourcing car finance. We’ll liaise with lenders on your behalf, compare what they can offer, and come back to you with the options that we believe will suit you.

That will take a big weight off your shoulders as well as a lot of potential stress!

  1. Minimise the impact on your credit file

If you apply for finance with more than one lender it can have a detrimental impact on your credit file. However working with a finance broker can allow you to apply with a number of lenders through just the one application.

  1. The personal touch

While online (and big bank) options exist, we pride ourselves on our personal touch. If you’ve ever got any queries or concerns about your loan you can pick up the phone and we’ll sort it out for you.

That’s much better than calling up a call centre and being bumped around from anonymous customer service person to anonymous customer service person.

Get the ball rolling now

All too often the process of sourcing car finance is put in the too-hard-basket. But by simply picking up the phone and calling us now we can help you get the ball rolling.

It’s quick and easy, too. We’ll get some initials details from you and get cracking asap.

That way you can get stuck into the other tasks on your to-do-list, or simply kick back and watch Netflix!