• FINANCE

    When you talk to Direct Deal Finance, you can be sure that with one call you’re getting access to the widest range of finance products possible.
    Save yourself the headache and hassle of dealing with multiple touch-points. Our team is experienced in all aspects of the financing process and are accredited to discuss finance & insurance options with you.

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We are here to help you navigate
the world of finance and lending.

07 3870 7377

Important to Note

Any advice given on this website is general advice only. Before you act on the advice, you should consider whether this advice is suitable for you. You should read the relevant Product Disclosure Statements before purchasing any products or services. You should always refer to your accountant or a registered tax agent before taking out finance. It is advised that you consult one of our financial advisers before taking out a loan.

While we have attempted to ensure that everything on this website is accurate at the time of publication, product features, specifications and pricing are subject to change without notice. The information on this website should always be read in conjunction with other materials and information provided by a qualified finance professional.

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Choosing the right loan

This is an overview of various loan types available through most banks / lenders. Our consultants pride themselves on providing recommendations with respect to loan structure, combination loans, fixed interest rate recommendations etc and are experienced to assist first home buyers, second and third home buyers and investors.

Pre-Approved Finance

Direct Deal Finance specialises in Pre-Approvals and in fact recommends Pre-Approved finance for even the most astute borrowers / investors. A Pre-Approval will essentially go through the standard loan application process – i.e pay slips, evidence of income, confirmation of existing loan commitments etc, but with one exception being that the property to be purchased will not / or cannot be clearly identified.

Advantages of obtaining a Pre-Approval are many and include:-

  • Provides peace of mind for nervous borrowers who may question their ability to raise money for a major investment in Real Estate.
  • Provides negotiating power. We encourage borrowers to let Real Estate agents and vendors know that finance has been pre-approved with a view that a better sale price can be negotiated.
  • Pre-Approved finance is essential for borrowers wishing to go to auction.
  • Pre-Approvals with most lenders can be relied upon for up to 3 months and generally can be extended beyond this period by simply updating and confirming that financial details have not changed or deteriorated from that of original approval.
  • Ideal for investors who may be looking for a investment property but are yet to actually locate the ideal property.

Combination Loans

Direct Deal Finance consultants pride themselves on providing sound recommendations around the structuring of loans. Many First Home buyers and in fact even second and third home buyers or investors can benefit from a combination of fixed interest rate loans coupled with a standard variable rate loan or basic or discounted variable rate loans.

This provides the comfort of having a portion of the loan fixed and shielded against possible interest rate rises whilst having the flexibility of a portion on variable rate where additional loan repayments can be effected without penalty.

Our loan consultants will gladly discuss these types of options.

Standard Variable Interest Rate Loan

Traditionally the most common for Australian borrowers, the standard variable rate can vary throughout the term of the loan and generally has more features than other loan types.

Interest rates will be subject to movements in interest rates generally and will either increase or decrease depending upon market conditions. Additional repayments can be made without incurring penalty allowing you to pay your home loan off sooner.

The Standard Variable Rate Home Loan has lost ground to the basic or discounted variable rate home loan unless taken as part of a professional package (see below).

Basic or Discounted Variable Interest Rate Loan

The basic loan as the name suggests generally has more limited features than that of a standard variable rate loan. However over more recent times the features attaching to the basic loan brought about through competitive pressures amongst lenders, has increased.

These loans may suit borrowers not wanting all the extra options and generally have cheaper interest rates. Products available through both mainstream lenders and others may provide a cheap and worthwhile alternative to the standard variable rate product.

Often referred to as a no frills product and will be ideally suited to many borrowers.

Fixed Interest Rate Loan

As the name implies a fixed interest rate loan provides ‘protection’ for the borrower for a given fixed period. Fixed rates are generally 1 – 5 year terms although some lenders are now offering longer terms and some up to as much as 15 years. Normally at the expiration of the fixed rate loan banks / lenders will revert the interest rate to the standard variable rate, however it is a practice of Direct Deal Finance that we initiate contact with borrowers to discuss options such as continuation of a further fixed rate term, combination loan or in fact allowing the loan to revert to a variable rate.

In exchange for locking in a fixed rate term and securing an interest rate for the term of the loan borrowers will normally trade off locking in interest rate cycles (weekly, fortnightly or monthly) and will lock in interest only repayments or principal and interest repayments for the term of the fixed rate loan. Some lenders will allow additional repayments but normally only to a maximum of say $10,000 pa.

Lo Doc / No Doc Loans for Self Employed

Running your own profitable business is difficult enough without the hassles of applying for a home loan. If you are self-employed, you may be denied a traditional home loan due to lack of paperwork to verify your income.

The alternative is to apply for a lo-document home loan (often called low doc loans). A Lo Doc – or low in documentation loan – is specifically designed for self-employed people, and other non-conforming borrowers. Typically a Lo Doc client may not have prepared their end of year financials or may have not been trading in a new business for any length of time where their financial data does not accurately demonstrate their incomes.

A Lo Doc or No Doc loan dispenses with the need to table extensive financial information to support home lending.

Line of Credit Loan or Home Equity Loan

The Line of Credit loan offers maximum flexibility and is popular with many borrowers.

A Line of Credit loan is essentially like an overdraft and thus the balance can go up and down within an agreed Line of Credit limit. These loan types are particularly useful to borrowers seeking to do some minor home renovations, buy an investment property, purchase a motor vehicle or take a holiday. You pay interest only on what you owe each month and are able to pay off varying amounts each month depending on your outstanding balance.

Interest is calculated on the daily balance. This means you can reduce your interest costs by having your salary go directly into your loan account and use your interest free credit card for the month.

The loan has no expiry date and can be used for many purposes.

Professional Packages

Many banks offer discounted loan packages to attract professionals. Most banks determine your eligibility based on loan amount, salary or a combination of both. To find out whether you are eligible, contact our office and speak with one of our mortgage consultants. This style of loan generally includes redraw, offset, up to 0.7% off the standard variable rate, no ongoing loan administration fee (there is usually an annual packaging fee). You receive in most cases an interest discount off the Standard Variable Rate for the life of the loan. This type of loan can help you save money by using the offset account in combination with your credit card. Future borrowings do not attract an application fee. Most banks offer discounted loan packages. To find out which Lender’s professional package will suit you.

Home Loans

Here we outline the Home Loan process for you. What is involved and what preparation you will need to consider before your formal application.

Step 1: How much can I borrow?

Your borrowing power is determined by looking at your income and financial commitments, as well as your current savings and your credit history. You also need to take into consideration your living expenses, so you can repay your loan and maintain the lifestyle you are used to.

The Repayment Calculator can help you to calculate your loan repayments, how long it could take you to pay off the loan, as well as the loan amount based on a repayment amount entered.

For an indication of the amount that you can borrow, get in touch with us for a no obligation consultation.

Step 2: What are the costs?

Once you have determined the amount you wish to borrow or your potential purchase price, you will need to take into account the other charges that will apply.

One of the biggest initial outlays you will have is the deposit, and this may vary from lender to lender. You should also allow additional funds (approximately 5%) for the stamp duty, legal costs, insurance etc associated with buying a property.

The Stamp Duty Calculator will provide an insight into the government stamp duty charges.

Step 3: Which loan to choose?

There are many different loan features and fees to be considered, such as home loan rates, mortgage offset, redraw and ongoing fees just to name a few, and there are different loans to suit different needs.

Direct Deal Finance consultants can provide recommendations on what we consider will be the most appropriate loan for your circumstances.

Contact Us Today to find out more.

Step 4: Pre- Approved finance

Direct Deal Finance specialises in Pre-Approvals and in fact recommends Pre-Approved finance for even the most astute borrowers / investors. A Pre-Approval will essentially go through the standard loan application process – i.e pay slips, evidence of income, confirmation of existing loan commitments etc, but with one exception being that the property to be purchased will not / or cannot be clearly identified.

Advantages of obtaining a Pre-Approval are many and include:

  • Provides peace of mind for nervous borrowers who may question their ability to raise money for a major investment in Real Estate.
  • Provides negotiating power. We encourage borrowers to let Real Estate Agents and Vendors know that finance has been pre-approved with a view that a better sale price can be negotiated.
  • Pre-Approved finance is essential for borrowers wishing to go to auction.
  • Pre-Approvals with most lenders can be relied upon for up to 3 months and generally can be extended beyond this period by simply updating and confirming that financial details have not changed or deteriorated from that of original approval.
  • Ideal for investors who may be looking for a investment property but are yet to actually locate the ideal property.

Step 5: Search for a property

There are many ways to search for a property, one of the easiest ways is online. Visit www.realestate.com.au

Real Estate Alert

The Real Estate Alert asks you to specify your desired property criteria and will email you when there is a new property listing that matches your requirements.Visit www.realestate.com.au

Step 6: The buying process

Make an Offer:

If you are buying at an auction, you are required to pay a deposit (usually 10% of the purchase price) immediately.

If you are buying privately, you are usually required to pay a holding deposit (can be anywhere between $2,000 and 10% of the purchase price).

Contract of Sale:

The Contract of Sale, prepared by the agent or by the vendor’s solicitor, outlines your offer, the date of settlement, and any conditions that must be met before the sale goes ahead. Discuss the Contract of Sale with your solicitor before you sign it. There are two kinds of offers – unconditional and conditional.

Conditional Offers:

A conditional offer is also a binding contract, provided that all your conditions are satisfied. You can only back out now if one or more of the conditions are not met.

Unconditional Offers:

This is an outright offer to buy a property. You should be 100% sure that this is the property you want and that you have access to the money to buy the property. Once the vendor has accepted your offer, you are legally obliged to go through with the sale.

Finalise Loan:

If you have obtained pre-approval finance you can finalise your loan by contacting Direct Deal Finance to determine what outstanding items are required. In most cases it would be a copy of the purchase contract.

Settlement:

The Contract of Sale will state the amount of time you have to settle the conditions. When all conditions are met, the offer becomes unconditional, the sale will go ahead and the property will be yours.

How the Settlement Process Works:

Your Solicitor/Conveyancer will prepare and arrange for you to sign a Transfer of Land document. You should ensure that this is done at least two weeks prior to the settlement date. This document will be handed over at settlement to the lender. The lender will register it at the State/Territory’s Title Office on your behalf. Upon registration, the property will be changed over to your name.

Your Solicitor/Conveyancer will contact the lender, the seller’s Solicitor/Conveyancer, and other interested parties to arrange the date, place and time of settlement.

Your Solicitor/Conveyancer should advise you one week prior to the settlement, of the exact date, time of settlement and the amount of funds that you are required to provide prior to settlement (if applicable). This amount is usually required to be paid by bank cheque one day before settlement.

After settlement has taken place the seller’s Solicitors will contact the Real Estate Agent that sold you the property and advise them to hand over the keys to the property to you.

Your Solicitor should contact you and confirm settlement has taken place. They will also send you a Statement of Adjustment to show you how the funds have been disbursed to the parties involved.

Business & Commercial Loans

Why the difference?

Many commercial transactions or business transactions have different requirements that need to satisfy a lender. A commercial building may rely on rent. The valuation of the property may be calculated on a square metre floor area and the client too may have financials and tax returns that make the transaction more complicated than a home loan. Mortgage Brokers are largely used to dealing with Mums and Dads and the requirements of a home loan are far simpler than a commercial or business loan.

Direct Deal Finance is able to provide the traditional lending services offered by most banks and MORE. MORE…….in that unlike a bank dictating how a loan will be structured to suit their requirements, an experienced commercial lender such as Direct Deal Finance can structure a proposal in many cases that will fulfill the borrower’s needs.

Given that most lending institutions are now faced with a shortage of experienced and capable lenders, it makes sense to deal with someone who is professional and experienced in all areas of commercial finance. At Direct Deal Finance we know how to structure YOUR financial needs, and are able to access the very best loan products available through an array of lending institutions and funders.

Business & Commercial
Loan Types

An important differentiation when considering commercial or business finance is that not all brokers are experienced with respect to the structuring and application process when dealing with commercial transactions. In fact only a very small percentage of brokers actually are capable of handling a commercial transaction. Regrettably, for many clients they do not see the difference and place their affairs in an in-experienced mortgage broker’s hands or a banker who similarly does not fully appreciate the client’s circumstances.

Here we outline the types of business and commercial loans available so that you can see if there is a loan that suits you or Contact Us to discuss the most suitable loan product type.

Overdrafts

Most banks provide basic overdrafts to assist with working capital requirements. An overdraft is simply an extension of a client’s normal banking account but with an approved arrangement to overdraw to an agreed credit (or overdraft) limit.

An overdraft will often be used by business people where cash reserves are otherwise committed to debtors or stock or where cash flow is interrupted or uneven.

Factoring Facilities

Factoring, also known as cash flow finance, debtor finance and invoice finance, can help improve your cash flow and increase working capital to fund growth by providing an immediate injection of cash against the value of your outstanding invoices.

Then as you raise an invoice, the lender can release up to 90% of the value of that invoice within 24 hours. The remaining 10% is generally paid to you, less a small service fee, once the lender receives payment from your customers.

Inventory Loans

Inventory Finance provides businesses with finance for the acquisition of stock for manufacturing or resale to their customers. Clients are typically profitable, well established, have current financials and annual sales turnover of $3m or more.

Users include manufacturers, wholesalers and retailers who purchase stock from Australian or overseas suppliers. Finance is available for most new stock, ranging from raw materials and work in progress to finished goods.

What makes Inventory Finance unique is that the stock to be financed does not have to be pre-sold, invoiced and delivered. Additionally, clients are not required to provide real estate security. For manufacturers Inventory Finance is available in conjunction with Production Finance, or as a standalone finance facility.

Revolving line of credit facility limits range from $400,000 to $3.0M.

Short Term Loans

Short term loans for urgent settlements, bridging loans, short term business needs where a firm take-out can be identified can generally be arranged within 24 hours. We have access to a broad panel of funders who specialise in these types of loans.

Loans generally range from $20,000 to $200,000 (however higher amounts can be negotiated) and security too may be first or second mortgages or other suitable security.

Fully Drawn Advances or Term Loans

A Fully Drawn Advance or Term Loan can be used for a variety of purposes. Loans may be to assist with purchase of commercial property, business equipment, businesses, consolidation of debt etc.

Loan terms are generally restricted to 10 – 15 years depending on loan amount, however longer terms are available too via some lenders. Interest only or principal and interest repayment terms can be negotiated. Fixed or variable rate loans are available.

Commercial Bills

Commercial Bills are often the ideal option for short or long-term financing, and can be an excellent answer when you need a significant injection of cash – above $100,000. Normal terms are from seven to 180 days with a variable or fixed interest rate.

With fixed rate bills, your interest rate remains constant for the term of the facility, which may include several rollovers. With variable rate bills, the interest rate is fixed for each period. If the period is extended or rolled over, the interest rate may vary.

Your commitment is to repay the face value of the Bill at the end of the term of the loan agreement.

Construction and Development Finance

We specialise in this area of finance and have had experience with land sub divisions, high rise, multi-development, supermarkets, hotels and taverns, caravan parks and many more.

Requirements will vary and will depend upon the nature of the development – please Contact Us to discuss.

Lo Doc Loans (self employed...without financials)

Some lenders will allow finance for most purposes with a Lo Doc loan. A Lo Doc – or low in documentation loan – is specifically designed for self-employed people, and other non-conforming borrowers. Typically a Lo Doc client may not have prepared their end of year financials or may have not been trading in a new business for any length of time where their financial data does not accurately demonstrate their income.

A Lo Doc or No Doc loan dispenses with the need to table extensive financial information to support home lending.

Equipment Loans

Whether you are looking to purchase a work utility, prime mover, office equipment a boat or even a crane – we have a broad panel of lenders to assist you.

What can be financed?

In simple terms almost anything. This type of finance is generally available to business people or individuals that are using the goods being purchased for predominantly business purpose.

Examples of items that can be financed as equipment finance are:

  • Aircraft and Helicopters, Pleasure and Charter Boats
  • Office Fit Outs, Buses and Coaches
  • Engineering and Sheet metal equipment, Food Processing equipment
  • Truck and Transport Heavy Haulage
  • Motor Vehicles, Computers and Software
  • Cranes, Earthmoving equipment
  • Medical and Dental equipment, Woodworking equipment, lathes etc
  • Restaurant equipment

Types of Loans

Direct Deal Finance is able to provide extremely competitive quotes for a variety of chattels including motor vehicles, trucks and heavy haulage equipment, cranes, computers and almost any other item of plant and equipment.

We recommend that when considering the loan type clients seek advice from their accountant to ensure that the structure is consistent with their business and taxation objectives. The main loan types available are:

  • Equipment Finance
  • Operating leases
  • Finance leases
  • Novated leases
  • Commercial hire purchase
  • Rental finance
  • Chattel mortgages
  • Lo Doc Loans (self employed…..without financials)

Other Loans

We know that securing finance and all the necessities that go with it can be a real headache – speaking to multiple lenders, completing a range of forms, trying to work out what insurance is required, who from and for how much. Our clients however, have found that our experienced team are able clarify all of this and take that headache away – offering unbiased, hassle-free, simple and quick finance solutions.

Personal Loans

We are able to provide finance via a number of Personal Loan lenders. Loans generally will be for personal use and may include motor vehicles, consumer items, holidays, housing related expenditure etc.

Loan terms for personal Loans typically are for terms from 6 months to 7 years (84 months) and interest rates will vary depending on whether the loan is secured or unsecured.

Car Loans

Whether you are looking to upgrade to a new car or purchase your first motor vehicle, we can match you to the right car finance solution to suit both your lifestyle and budget.

When comparing rates on competitive car finance loans, you need to know you can rely on a lender that is experienced, professional and understands the current market.

Our Clients

Testimonials

Just wanted to thank you for all the great help!! We really appreciate all your time that you have given us.

Mu Kay & FamilyCarindale Office