Commission and incentives

Loan settlement

On settlement of a loan or acceptance of an insurance application by the insurer, I usually receive a commission payment from the applicable lender or insurer.

Loans

For loans, the commission is generally an upfront payment, but I may also receive an ongoing trail commission payment. The upfront commission is calculated as a percentage of the loan at drawdown. A trail commission is calculated as a percentage of the loan outstanding at the relevant time. I may also receive a fixed rate rollover fee from the applicable lender if I assist in refixing your loan.

The maximum percentage that each lender uses to calculate upfront and trail commissions, and the maximum fixed rate rollover fees (refix fees), are set out in the attached document - click here*. If there are any variations to these percentages or other commission payments that may apply, specific to your loan application, I will disclose this to you as part of our advice process.

Insurance

For insurance, the commission is generally an upfront commission payment, but I may also receive a renewal commission payment. The upfront commission is calculated as a percentage of the first year’s premium that you will pay. A renewal commission is calculated as a percentage of the premium that you pay for each year the policy is in force.

The maximum percentage that each insurer uses to calculate upfront and renewal commissions is set out in the attached document – click here**. If there are any variations to these percentages or other commission payments that may apply, specific to your insurance application, I will disclose this to you as part of my advice process.

I may also receive a referral fee or commission payment if I refer you to our referral partners listed in the document above. I will give you more information about how that referral fee or commission is calculated, before proceeding.