Cookie Cutter Approach and No Customer Service
Seems great until you actually need customer service or a change. Unlike many others I decided to tell the bank I moved in with my partner and now renting out my home. I should of done what many people do and not disclose the situation change. In times where rates are low, having a paying tenant and a stable full time job should mean a lot to a bank, they hiked up my interest rate by 1% and charged a fee. I understand there is a difference between owner occupy and what banks say are investment loans, however most banks go through the process an...d may offer different rates for customers in different situations, and certainly not 1% difference in current market. They apply a cookie cutter approach with very little customer service to make you feel like you are important, they must forget how much profit they get from our loans.
AFG have been difficult from the start
We have been with AFG (Retro) for only just over 1 year and they have recently increased the interest rate twice in only three months, despite the reserve bank rate remaining the same. They offer little explanation beyond their ties to the underwriting bank. As other users have said, discharge rates are high (in the process of discharging the loan) and the security property we used for the loan to begin with was layed down at an unreasonable rate of colatoral with some clear shadiness in the transparency of this within our original contracts. T...hey have also not been able to produce proper electronic statements, and even the versions you must pay for (if misplacing your original) are substandard in the information in your history they offer (beyond being a very basic transaction list with a letterhead). Their stated reasoning is that they have not yet properly established their digital presence. I would strongly recommend avoiding AFG and using a different lender based on my experiences.
Questions & Answers
Can you please advise when you will communicate your decision on the current rate decrease from the reserve bank?
They haven't passed on anything but are constipating on it...!!
You can view the latest rate movements in relation to the recent RBA decrease here - https://afghomeloans.com.au/afg-home-loans-rates-reduced/
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