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How brokers can navigate heightened scrutiny on living expenses

  • How CCR can help brokers verify and assess borrower expenses

    CCR enables brokers to see active lines of credit, credit limits, and how well a customer has been managing their debt

  • How CCR can help brokers verify and assess borrower expenses

    CCR enables brokers to see active lines of credit, credit limits, and how well a customer has been managing their debt

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    Connective has released a new Living Expense Assessments eBook to help brokers navigate the heightened scrutiny around borrowers’ living expenses. The eBook is available to all brokers irrespective of their aggregator and is being launched in conjunction with another guide on ‘Best Practice Interview Questions’.

    As lenders update their loan application forms and require brokers to submit “far more granular” detail of their clients’ living expenses, the aggregator felt it was important to release this resource “to help guide brokers in the discovery, verification and documentation proces”, Connective group legal counsel Daniel Oh said in a statement.

    “Brokers have a responsibility to both their customers and the lender to ensure every application is true and correct and getting this right, particularly in relation to living expenses, is now more important than ever,” he said.

    “Making reasonable enquiries about the borrower’s living expenses and taking the necessary steps to verify and document the information is an important step in placing the borrower in the best position to comfortably repay their loan.

    The eBook breaks down how to work with customers to collect the information and make inquiries, how to conduct the interview to extract the necessary information, how to verify the information, and provides tips on what documents are required.

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