Credit Guide

About this document

This is a Credit Guide and Credit Proposal Disclosure Document for the purposes of the National Consumer Credit Protection Act and contains important information about Aussie’s digital home loan offering, which is provided by Aussie using Tic:Toc’s proprietary online platform. It contains details about:

  • Fees, charges and commissions paid to each of Aussie and Tic:Toc, the credit provider and any third party for helping you obtain an Aussie Edge loan.
  • How each of Aussie and Tic:Toc meet our respective responsible lending obligations to only provide you with credit assistance in relation to credit that is not unsuitable for you.
  • What you can do if you have a complaint or compliment about Aussie or Tic:Toc.
  • A reasonable estimate of the amount of credit available after payment of the applicable fees and charges.

About Aussie and Tic:Toc

Aussie

AHL Investments Pty Ltd (ACN 105 265 861, Australian Credit Licence 246786)

Postal Address:

Level 28, Grosvenor Place
225 George Street
Sydney NSW 2000

Phone: 13 13 33

Email: ncc@aussie.com.au

Tic:Toc

Tic:Toc Online Pty Ltd (ACN 605 696 544, Australian Credit Licence 496431)

Postal address:

PO Box 3187
Rundle Mall SA 5000

Aussie’s and Tic:Toc’s services

Aussie offers Aussie Edge home loans through the digital offering which is provided by Aussie using Tic:Toc’s proprietary online platform pursuant to an arrangement between Aussie and Tic:Toc. Separately, Aussie also has an arrangement with Adelaide Bank (a division of Bendigo and Adelaide Bank Limited (ACN 068 049 178, AFSL/Australian Credit Licence 237879) (Adelaide Bank) who is the credit provider for these loans (i.e. the funder or lender).

In addition, via Aussie’s Broker network (Aussie credit representatives) Aussie can arrange loans from a broad range of lenders and products (Panel lenders). Aussie also manage branded home loans and market other credit products.

Lenders

A full list of Panel lenders which Aussie credit representatives have access to can be found on Aussie’s website (www.aussie.com.au). For the period 1 July 2019 to 30 June 2020 the top 6 panel members used by Aussie credit representatives were:

Aussie: Commonwealth Bank, HSBC, St George, Macquarie, ANZ and Residential Mortgage Group Pty Ltd (an Aussie Home Loans product).

For the same period, the top lenders with whom Tic:Toc has conducted business were Bendigo and Adelaide Bank Limited and La Trobe Financial Services.

Obligations when providing services

Under the law, Aussie and Tic:Toc are each respectively obliged to ensure that we do not suggest that you, or assist you to, apply for any loan or principal increase to a loan if it would be unsuitable for you. To do this, each of Aussie and Tic:Toc will need to get information from you in order to respectively assess that the loan is not unsuitable. We are required to:

  • Make reasonable inquiries about your requirements and objectives
  • Make reasonable inquiries about your financial situation, and
  • Take reasonable steps to verify that financial situation.

Credit will be unsuitable if at the time of the assessment, it is likely that at the time the credit is provided:

  • You could not pay or only pay with substantial hardship, or
  • The credit will not meet your requirements and

For example, if you can only repay a loan by selling your principal place of residence, it is presumed that the loan will cause substantial hardship unless the contrary is proved. For this reason each of Aussie and Tic:Toc must ask you to provide a significant amount of information. It is therefore very important that the information you provide to Aussie and Tic:Toc is accurate. Each of Aussie and Tic:Toc will provide you with a copy of its preliminary credit assessment of your application if you ask within 7 years of when it assisted you. Each of Aussie and Tic:Toc are only required to give you a copy of the preliminary credit assessment if it gives you credit assistance.

Fees payable by you to Aussie and Tic:Toc

When your loan has been settled by the lender (Adelaide Bank) a once off settlement fee of $330 (inclusive of GST and PEXA services fees if applicable) will be payable to Aussie. This fee funds costs associated with the facilitation of settlement including document preparation and electronic settlement (where applicable). This fee will be collected at settlement and funded from settlement proceeds. This fee is not payable if your loan does not proceed to settlement. There are no additional fees payable by you to Aussie.

Tic:Toc does not impose any fees or charges on you for providing credit assistance and other services in connection with applying for or settling an Aussie Edge home loan.

Estimate of fees & charges payable to the lender in relation to your loan application

There will be no fees and charges payable by you to the lender, Adelaide Bank, directly in relation to your application for an Aussie Edge home loan. Accordingly, if you do not enter into a loan contract as a result of your application, no fees or charges will be payable by you.

You may be required to pay other fees to the lender throughout the term of your loan which are not required to be disclosed here (such as post settlement fees and charges associated with the administration of your account will apply including variations, dishonours, credit cards and discharge). These fees are charged by the lender and are set out in your loan contract.

Commission paid to us

When your Aussie Edge home loan settles:

  • Aussie will pay Tic:Toc a processing fee of up to $310 for the work Tic:Toc does in assessing your Aussie Edge home loan application and a commission of up to 0.15% of the loan amount (which, based on an average loan amount of $400,000 would equate to $600) after settlement of your Aussie Edge home loan.
  • Adelaide Bank may pay Aussie an upfront commission of up to 0.85% of the loan amount.
  • Adelaide Bank may pay Aussie a monthly trailing commission during the loan term. This amount will vary depending on the interest rate payable by the borrower and the cost of funds for the Aussie Edge home loan. The commission is likely to vary between 0.20% and 1.50% of the loan balance.

From time to time Aussie will receive benefits in the form of conference sponsorship, conferences and training sessions from Adelaide Bank. Tic:Toc do not receive any benefits of this nature.

Tic:Toc has a volume-based arrangement in place with Aussie under which the commission paid to Tic:Toc by Aussie which is referred to above may increase depending on the total number of Aussie Edge home loans that Tic:Toc has processed for Aussie at the time such commission is calculated and paid by Aussie.

Neither Aussie nor Tic:Toc have any other volume-based commission or volume-based bonus arrangements in relation to Aussie Edge home loans.

Payments to third parties

Government fees and charges and Lenders Mortgage Insurance (LMI) may be payable by you in relation to the proposed Aussie Edge home loan. Apart from these, there will be no additional fees and charges payable by you to any third parties.

Commissions payable by Aussie and Tic:Toc

Aussie sources referrals from a broad range of sources including call centre companies, real estate agents and websites and may pay fees to these parties for referring you to Aussie. These referral fees are generally small amounts. There is no fee payable by you for the referral. Upon request, you can obtain a reasonable estimate of the amount of commission and how it is worked out.

Tic:Toc does not pay commissions to third parties in relation to Aussie Edge home loans.

Internal dispute resolution

If you wish to make a complaint, you can do so by contacting Aussie or Tic:Toc:

Aussie

Postal address:

Customer Dispute Resolution
Locked Bag 19
Royal Exchange NSW 1225

Phone: 13 13 33

Complaints form:

Fill out the complaint form on the www.aussie.com.au 

Tic:Toc

Postal address:

PO Box 3187
Rundle Mall SA 5000

Phone: 1800 842 405

Email: mysolutions@tictochomeloans.com

If you do raise an issue with Aussie or Tic:Toc, we will address your issue as quickly as possible. Please provide as much your information as you can (including supporting documents if you have them) when you raise your concern, as it will help Aussie or Tic:Toc (as the case may be) to resolve things faster.

External dispute resolution

If you are dissatisfied with the resolution of your complaint, you may lodge a complaint with the external dispute resolution scheme of which each of Aussie and Tic:Toc is a member:

Australian Financial Complaints Authority

Postal address:

Australian Financial Complaints Authority
GPO Box 3
Melbourne VIC 3001

Phone: 1800 931 678

Email: info@afca.org.au

Website: www.afca.org.au

Time limits may apply to complain to AFCA and so you should act promptly or otherwise consult AFCA website to find out if or when the time limit relevant to your circumstances expires.

Reasonable estimate of credit left after paying fees & charges

An estimate of the amount of credit left after paying the fees and charges you owe to us, Adelaide Bank or any other person under your Aussie Edge home loan (excluding any Government fees and charges and Lenders Mortgage Insurance if applicable) can be calculated as the credit amount provided in your letter of offer less the once off settlement fee of $330 payable to Aussie.

Warning: Before you accept your loan offer, you should check the loan offer carefully to ensure that the terms of the loan do not vary from what you require.

Note:  The statements in this document which relate only to Aussie are made solely by Aussie, not Tic:Toc.  The statements in this document which relate only to Tic:Toc are made solely by Tic:Toc.