Financial hardship reforms have now been implemented as of the commencement of the new financial year. This means financial hardship arrangements shall now be reflected on your client’s credit reports allowing lenders further insight into your client’s creditworthiness. The new reforms will allow mortgage brokers to be further informed regarding their client’s history. Comprehensive credit reporting (CCR) shall now be expanded to reflect repayment history information alongside financial hardship arrangements.
As always ensure you order your client’s credit reports upfront either prior to submitting or processing your client’s loan application. To gain further insight into how the new hardship reforms may impact you, or for us to review your client’s matters contact us today.