Does anyone know how long CBA usually take to process a home loan application for first timers?
If they approve the loan i understand they are out too 2 weeks or so.
'In saying this they have ramped up their Credit score recently and seem to be declining more than they approve.
Richard Taylor | Australia's leading private lender
declining more than they approved.. how do they growth the credit lending?
Thanks Richard!
As of Friday gone, its been 2 weeks since we lodged our application. We did get a response last Wednesday to explain 3 declines on our credit history, which I did. Haven't heard back from them since. Hmmmm….I hope to get put out of my misery come this week…either way!. I need an answer by next Friday.
GOM
Who said CBA or WPac want to grow their Credit Book.
If you see the increase in lending from both of these lenders over the last 18 months you can see why they are prepared to manage existing lending rather than persue new growth.
Up until 4 months ago both taking on absolute rubbish so it is not suprising that the brakes have been applied.
JHK. Good luck for Friday hope they pull through for you.
Richard Taylor | Australia's leading private lender
JHK… did you apply through the broker or direct to branch?
Richard, "Up until 4 months ago both taking on absolute rubbish ".. I thought they started to clean the lending books18 months ago when GFC hit the wall?
GOM
Who said CBA or WPac want to grow their Credit Book.
If you see the increase in lending from both of these lenders over the last 18 months you can see why they are prepared to manage existing lending rather than persue new growth.
Up until 4 months ago both taking on absolute rubbish so it is not suprising that the brakes have been applied.
JHK. Good luck for Friday hope they pull through for you.
Richard Taylor | Australia's leading private lender
GOM
Westpac withdrew their Lodoc refinance with unlimited cash out at Pro pack rates product around September last year.
They knew that no other lender was doing cash out refinance at those rates so when you went with them there was no chance you could ever leave.
Westpac only in January reduced their max lvr to 87%.
CBA have only recently tightened up their policy again.
Dont again me wrong they had a first belt tightening 18 months ago but most lender had been through further notches on their belts.
Richard Taylor | Australia's leading private lender
How about ANZ and NAB? NAB has been lagging behind the peers in pursuing lending growth?
Are they more preferred than CBA/WBC?
My broker was saying it had been nearly 7 years since she had CBA come back and ask for explanation of 3 declines on someones credit history. She was saying that lately banks are becoming testing and more difficult to work with. Is this happening with yourselves???..Richard, TerryW??..or any other brokers out there. Hmmm…not sure if thats good for me or not. I just want this all over with! The suspense is killing me!!
NAB was the only bank that grew its commercial loan book during 09…
Steve True but we are talking residentially now lol
JHK – Hate to say your Broker doesnt seem to know that market that well as that is a standard part of the credit score process.
You are actually lucky that you might have a human credit assessor looking at the deal and not just a computer decline or approving it.Richard Taylor | Australia's leading private lender
Okay!….
……so CBA turned us down….due to credit enquiries….even after my broker argued our case with 5 reviews!!..with the State and National Credit Manager!…but no luck! It took them 3 weeks to come up with that decision!…grhhh!
Our broker then lodged our app with Bankwest!….they got back to us in 14days with GOOD NEWS as of today!!!…..Bankwest approved our home loan!!
Celebrations is on!!
Jhk – sorry to say it but if your deal takes that long it’s most likley your broker. Once a deal goes to an underwriter you’re looking at approx 48 hours as a maximum. CBA are writing almost 50% of home loans in australia at the moment. It’s rare that my deals take more than a day or two for approval.
Banker!…hahahaha…48hrs….yeh…for someone with a clean credit history and who has good income!
I just think thats a big assumption to make! I've been told by others that CBA can take upto 2weeks or so as well! I think its more the position you probably have with CBA, and the type of clients you lodge applications for…maybe you go for the easy ones!! Ours was a really tough application to lodge….cos we weren't your perfect customer…with a clean credit history and good income!! I would of liked to see what you could of done with our application…you may of taken longer…then again….shorter! In anycase, I just think thats a big assumption to make considering you dont know the details and facts of the situation!!
You’re right I don’t have all the details. But a deal that is submitted correctly should have a background on the client and a list of areas that the deal is outside of policy along with supporting comments re why it should be approved.
If a client has bad credit you need to outline the details of each default or judgememt, what caused the default and why the client is now good for finance. If all required info is submitted upfront you should be fine. If credit ask questions it is generally because there are gaps in the info provided. It is a broker or bankers job to present the file to credit and answer questions before they need to be asked.
I don’t have many strait forward deals – most are over 1m, most have a few properties and most have companies and trusts – defaults are more common with self employed deals however if the deal is worth doing defaults won’t stand in the way of approval.
You said on the 14 feb it has been two weeks – therefore almost 3 months to get your answer…
Not trying to sound like a prick however its a very long time – I’m not pro CBA but no lender on Australia takes that long?
blah blah blah!! As I said….you are full of assumptions! now what makes you think we didn't do what you mentioned!!…pfftttt!.
If my broker didn't think the deal was gonna come through…then she wouldn't of bothered lodging it. Unfortunate for me….CBA had ramped up their credit criteria!…and despite my explanations on credit history…they still dinged me!
The fact that you target clients with deals over 1mil….may explain why you seal deals in 48hrs!…ha…as well as your commission!! No doubt you know what you're doing!!……
……….but don't go assuming the prolonged time it took CBA to answer was because of my broker!!….it was more because of them and their systems!!!
2.5 months?
They don’t take that long – not if the deals are submitted properly
who said it took 2.5months or even 3?? …as I said….you don't know the situation!…..so just stop assuming!
my broker…did the best she could in whatever time we had available to seal the deal!
thanks for your interest in my situation in anycase!…..much appreciated! have a good one!
Well sorry banker but I need to add my comment with my bad experience with CBA.
One of the thing that I hate the most is that the file is managed by a number of different people and they always ask for something new. I just called CBA today 430pm for the status of a file which is scheduled to be assessd today. The operator told me that "you've missed it. we are waiting for the settlement agent's details…we called you but you didn't answer…we got the info now but unfortunately you need to queue up again for another 48 hrs for approval" (in fact they didn't even leave a message)
This is the 5th time they asked for something new. My RM only asked me to call the hotline to ask for escalation but seems those hotline operator didn't expect this. Well I got another 38 hrs to wait for the approval of this loan which submitted 6 weeks ago.
and totally agree Richard, this is lucky to have someone manually decline your loan but not someone telling you "it declined because it fails the credit score…"
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