Would you recommend sticking with the majors or is it safe to go with a second tier lender? I was stung in the GFC
Thanks for using the Eccho app for asking your question.
It is certainly dependent on your risk tolerance - there are a number of non-majors who are offering very competitive offers in the marketplace but if you have had a bad experience before, it could feel too risky to dip your toes into that pool again. There have been a number of regulatory changes however since the GFC and you may find that because of this you are in safer hands now. Without knowing the exact way that you were impacted, I am not too sure what you might need to know about the marketplace now.
If you would like to discuss with me your particular situation and what happened previously, I may be able to provide you with some information and guidance with what you are trying to achieve. Please feel free to send me a message privately and we can discuss :)
Thanks for reading!
Sorry to hear about your bad experience. I would be interested in understanding what happened to ensure it does not happen again. It is highly important to get good advice and research thoroughly when you get a home loan and this can be done by using a good mortgage specialist.
Most tier 2 lenders are matching the majors with loan features and a lot of the time beating them with rate and customer service but possibly a sacrifice in one or two other areas.
Also FYI these days most tier 2 lenders are covered by the banking act so if ever something bad happened like another GFC then you and your family are covered.
Look at all options because the lending environment has changed a lot over the few years and the tier 2 lenders have improved drastically.
Hope that helps but always happy to give a complimentary 2nd opinion.
Hi Ron, without knowing the context of what you mean by stung I really dont think it matters except in the terms of the actual loan offering. ie which lender has the best features and rates to suit your needs.
If you have genuine concerns, just for your peace of mind I would steer you to any APRA regulated lender as they are in essence, at least presently, more controlled in their behaviour.