How we are paid.
Most of the time, our services are completely free. Thats because instead of being paid by you, we receive revenue from our product suppliers like banks and insurers.
We feel it's important you understand how we are paid, after all we ask the exact questions to you when applying for a home loan.
Circumstances where fees may be charged
Commercial Property Purchase
Speciality Residential Home Loan purchase - Either the result of credit impairment like defaults or the loan is complex by nature. We will inform of you when this is the case.
Fees for lending examples outlined above are charged at 1% of the loan amount.
Loan is intended to be with a lender for less than 27 Months.
The lending circumstances are complex in nature and require a great deal of pre-application work.
We do also reserve the right to charge fees at $280 per hour. We may do this when charging a percentage of the loan amount isn't appropriate for the circumstances.
Note, we will inform you in writing prior to any fees being applicable. This may be when confirming an approval, and may not be at the very start of our engagement. Often we won't know of any credit issues until after we have submitted an application.
Mortgage Revenue Financial Licensing Group Limited (FLG) receives when we arrange a mortgage on behalf of a lender.
Our fees are received as a percentage of the loan amount either paid initially when loan starts or in some cases also as a trail or ongoing payment to help service and update the loan over time. These are listed below:
ANZ - 0.85% Upfront
BNZ - 0.55% Upfront 0.15% Trail
ASB - 0.85% Upfront
Westpac - 0.6% Upfront 0.2% Trail
Co-Operative Bank - 0.8% Upfront, 3% Personal Loans Upfront
SBS - 0.8% Upfront
Liberty Financial - 0.85% Upfront 0.15% Trail
Avanti - 0.85% Upfront
Resimac - 0.6% Upfront 0.15% Trail
Sovereign - 0.6% Upfront 0.2% Trail
Unity - 05% Home Loans Upfront, 3.5% Personal Loans Upfront
Pepper Money - Prime Lending Upfront 0.6%, Non-Prime 0.75%, 0.15% Tail.
Complex lending, or lenders who do not pay a commission as per the above will incur a fee, generally no more 1% of the loan amount to be disclosed to you in writing.
FLG engages New Zealand Financial Services Group to aggregate commission revenue for Mortgages from suppliers. They negotiate Lender accreditation agreements on our behalf and their full schedule of payments can be found in the link below.
Insurance Revenue FLG receives when we arrange an insurance policy on behalf of an insurer.
Our fees are received as a percentage of the annual premium paid initially when loan starts as well as an ongoing payment to help service and update the policy over time. These are listed below:
Asteron Life -
150% Upfront, 20% Ongoing Renewal
190% Upfront, 7.5% Ongoing Renewal
Lumpsum products 230% Upfront, 7.5% Ongoing Renewal
Disability Income - 170% Upfront, 15% Ongoing Renewal
Level Premium Products - 190% Upfront, 7.5% Ongoing Renewal
Partners Life -
210% Upfront, 10% Ongoing Renewal
Fee revenue FLG is paid to service KiwiSaver funds. This is paid as a percentage of the total funds under management and is changed to the client as part of their management fee.
Booster KiwiSaver Scheme -
0.5% p.a. Funds under Management
NZ Funds -
0.4% p.a. Funds under Management
Referral Payment of $100
$40 - $240 Upfront based on the balance transferred.
0.25% p.a. Funds under Management
Commission Clawback Policy
Clawbacks (Repayment of Mortgage and Insurance related revenue)
If a mortgage is repaid within 27 months of your mortgage settlement, or insurance policy is cancelled within 24 months Financial Licensing Group (EASYSTREET) will have to repay some of the 'upfront' commission received. This must be repaid to the Lender or Insurer. This is known as ‘commission clawback'.
If EASYSTREET is charged with a commission clawback, due to early settlement of the mortgage or insurance arranged for you, then EASYSTREET will ask you to pay $280 per hour up to $3,640*, for the services provided to you. If this is to exceed $3,640 due to the complexity of your application, we will inform you in writing.
*This $3,3640 has been calculated on an average of 13 hours of advice, negotiation and administration to complete and submit your loan/insurance application to the provider, at our hourly rate of $280 per hour.
These service charges are in no way associated with any fees EASYSTREET may have charged at settlement. This is typical with complex applications.