Financial advisers and brokers Archives

‘When is the end not the end?’

Liam needed finance to construct a prototype for his small business. Liam entered into an agreement for a loan from a contributory mortgage broker for one year, but could not repay the loan on the due date. Liam arranged a new loan through a different lender to repay the original loan two months after the loan’s due date and asked for the loan’s settlement figure. Liam was shocked that the original loan had been extended to cover the two months past its due date, and that a $10,650 re-establishment fee had been charged by the contributory mortgage broker. Could Liam’s loan have been extended without his knowledge?

Confusion over loss of rent cover

Property buyers purchase an apartment believing the body corporate’s loss of rent cover is transferable to them.

To fix, or not to fix, that is the question

Did a mortgage broker tell his customer interest rates would definitely be going up and the customer should fix the interest rate on his loan?

Clawback commission concerns

An insurance adviser attempted to rely on a poorly worded disclosure statement to justify passing commission claw back to his customers.

Unfortunate easement

Due diligence costs when purchasing a house should be covered by the intended purchaser.

Insurance company plays hard to get

When Perry contacts his insurance broker to cancel his insurance policies and receive a refund of premiums, Perry’s broker tells him he owes $3,600 in premiums for a policy he did not know he took out.

“Replacement cover; replacement knee”.

An issue arises about the replacement of a health insurance policy, leaving Andy without cover for knee replacement surgery.

Policy loophole letdown

What happens when a policy doesn’t cover loss both the insured and their financial adviser expected would be covered?

‘First home further from reach’

Iosefa and Teuila sign up for a savings plan to save for a house deposit. After finding out their savings weren’t earning interest, Iosefa and Teuila cancelled the agreement and tried to withdraw their money. The financial adviser who ran the saving plan accepted their cancellation but now he won’t release their funds saying he is owed a $4,995 fee. Can the financial adviser keep their savings?

A slippery slope to a big legal bill

Is a broker responsible for a couple being uninsured for legal costs, when they are sued in their personal capacity?