FAQs

Why use Faraday West to take out a loan?

Faraday West is an established mortgage management company with offices in Victoria and Western Australia. Established for over a decade, our expertise means we have an intimate knowledge of the business of lending.

Faraday West is both a leading non-bank lender and bank lending broker, providing the best of both worlds. We offer mortgage management – a complete service from application to account administration.

Faraday West is a full member of the Mortgage Finance Association of Australia (MFAA). Membership requires ongoing evaluation of accreditation criteria, ensuring that Faraday West is up to date with all forms of industry training and development. This means you can be secure in the knowledge that you are dealing with professionals that follow the MFAA Code of Practice.

At Faraday West, we combine the security of a well-established national presence with impressive experience and industry knowledge.

What identification will I need to provide?

You will need to provide us with proof of identification. Some suitable forms are a driver’s license, passport, credit card, a Medicare card, or birth certificate.

How do I know if I can get the First Home Owner’s Grant (FHOG)?

As a basic rule, you are eligible if you are an Australian citizen or permanent resident and buying or building your first home in Australia. You must have the intention of occupying the property as your principal place of residence within 12 months of settlement. Please note that, if you are purchasing the property in conjunction with others, they must meet the same criteria for you to access the FHOG.

What is the difference between a principal and interest home loan and an interest-only home loan?

When you take out a principal and interest loan, you must make repayments against both the amount borrowed (‘the principal’) and the interest charged on this amount. If you take out an interest-only home loan, then you need only repay the interest component (in the short term). Please consult with a Faraday West Mortgage Manager to determine what best suits your needs and circumstances.

Why would I take out an interest-only mortgage?

Investors may choose to take out an interest-only loan to maximise the tax benefits (i.e. negative gearing). Interest payments on investment properties from which you make an income are tax deductable.

How long will it take for my application to be approved?

At Faraday West we may be able to provide same day approval depending on your circumstances. In most cases however, it can take up to three days to be pre-approved.

How long will it take before the funds are available?

Funds are normally up to three days from the signing of mortgage documents, although in some cases it may be sooner.

What if I have defaults on my credit history, or my current mortgage is in arrears?

Faraday West understands. We have a range of flexible products and application procedures for a variety of circumstances. Speak with one of our Mortgage Managers to find out more.

What is Lender’s Mortgage Insurance?

Lenders Mortgage Insurance (LMI) does not, as some people think, protect the borrower should they become unable to make repayments. Rather, LMI protects the lender from losses resulting in the sale of a property, due to the borrower’s failure to service the loan. LMI premiums are payable by the borrower when the amount borrowed is above a certain percentage (usually 80% of the lender’s valuation of the property). Your Mortgage Manager can advise you on whether or not you will need LMI.

What is settlement?

Settlement is the completion of the sale, where the borrower takes possession of the property and the mortgage takes effect. Settlement usually takes place four to six weeks from the date that the home loan is formally approved.

What is the Faraday West policy on privacy?

We at Faraday West respect the privacy of our customers. We undertake to protect your personal details, and for those reasons, we explain how we use your details below. Our policy follows the National Privacy Principles for the protection of personal information, as set out in the Privacy Act 1988 (as amended). (where is the explanation of how details are used?)

What is meant by ‘personal information’?

Personal information refers to any details or opinions about you, where your identity is apparent, or your identity can be revealed.

How does Faraday West collect my personal information?

We endeavour to collect your personal information directly from you with your permission.

Why does Faraday West collect my personal information?

We collect personal information about you to either assess your financial and credit position when you apply for a loan, or to contact you regarding products and services that you may be interested in.