The term "Non Bank", "NonBank" or "Bank Alternative" quite simply means those lenders who are involved in the business of providing finance, but are not the registered Banks like ANZ Bank, ASB Bank, HSBC, Kiwibank, Bank of New Zealand, Rabo Bank, TSB & Westpac.
Non Bank lenders therefore includes recognised names like Sovereign & AMP, who are both also leaders in Insurance, Resimac Home Loans and Building Societies such as Napier and Wairarapa.
These institutions compete head to head with the Banks for Non Bank home loans and commercial property finance, with competitive interest rates for loans. Potential non bank home loan clients will generally require 10% mortgage deposit of which 5% is ideally savings, a good credit history, income that can be clearly demonstrated by pay slips or financial accounts, well conducted cheque accounts, with overdraft limits being respected, and any loan payments always met when due.
There are also less well known non bank lenders who will consider second tier, non bank, may be even bad credit loans, that may not quite fit main stream banks or first tier lenders credit criteria. This could either be a first or second mortgage for buying, building or refinancing a property and this may be an owner occupied home loan, a residential rental investment or for commercial use. These lenders tend to focus on the areas with a larger population base such as Auckland and Wellington and other provincial centres such as Hamilton, Tauranga, New Plymouth, Palmerston North, Taupo, Nelson, Christchurch and Dunedin.
Non Bank lenders, can also be known as "subprime, bank alternative or second tier lenders", this category will include Solicitor Nominee Funds, Group Investment Funds, Finance Companies, Mortgage Trusts, and Private Lenders. Often our borrowers in this category may have difficulty proving income or require funding, with an interest buffer included in the loan, for a specific project or pending sale of a property.
These non bank home loan, second tier & nominee lenders will typically provide shorter term home loan and commercial property finance facilities, for purchases or refinancing, but have more flexibility to structure a loan, so that it fits the purpose that you require, rather than complying with the policy of a faceless back office credit department that you have no access to.
We have the benefit of being able to present your loan direct to the decision makers, explaining any issues such as, gifted deposit, bad credit, hard to show income, missed repayments, rather than you trying to negotiate your way through layers of bureaucracy.
Whilst NonBk Ltd is based in Orewa, just 10 minutes North of Albany, Auckland, and I tend to look after this area, including Whangaparaoa, Millwater, Stillwater, Helensville, Warkworth, Wellsford, Whangarei and North, we also have Advisers in Central, South, East and West Auckland. We also provide a remote service using phone fax, phone, scan and email and this covers areas pretty much everywhere, such as Tauranga, Rotorua, Taupo and New Plymouth in the North Island and Nelson, Blenheim, Christchurch, West Coast, Queenstown and Invercargill in the South Island. With internet and email being a global service we also help people in Australia, America, China and Europe and have even helped new clients from France with an urgent loan that was approved and settled within 5 days. The phone calls were at 2 am in the morning NZ time!
Note: Sometimes you can access funds in your KiwiSaver account to assist with a deposit on a home. It is important to realise though that this may impact on your longer term savings. This should always be discussed with your KiwiSaver provider or Authorised Financial Adviser. As a Registered Financial Adviser I am unable to advise on Investment products.
We encourage you to spend a little time at our non bank site for infomation on:
Non Bank Home Loans
No or Low Deposit Home Loans
Construction Home Loans
Non Bank Tax Arrears
Low Doc or Hard to Prove Income Home Loans
Second Mortgage / Caveat Loans
Loans with Bad Credit
Mortgagee Sale Rescue Finance to save your home
Solicitor Nominee Loans
If you then decide you want some more non bank information or advice we will be pleased to assist. We encourage you to use our online enquiry form as this will assist you to provide the key information required, so we can quickly give you the help you are looking for.