Mortgage brokers, not to be confused with mortgage managers, connect borrowers with lenders. They act as middlemen, giving potential borrowers information about different lending institutions and the products they offer.
- Mortgage Managers
Mortgage managers are experts in lending who find money for home loans and loans for investments. Mortgage managers do not get their loan money from customer deposits like banks, building societies, and credit unions do. Instead, they get their loan money through a process called securitisation. This is a process in which assets that bring in money are put together and turned into securities that can be sold.
The job of the mortgage manager is to set up the loan and work with the originators, trustees, credit assessors, and borrowers to make sure everything goes smoothly. They take care of customer service and make sure your loan is taken care of during its whole term.
Credit Unions Credit unions
A credit union is a cooperative that the people who use its services own and run. Each member of the credit union is both a customer and an owner of shares in the business.
The structure of how a credit union does business makes it easy for members to borrow money from other members. Credit unions are for people who have something in common, like where they live, work, or go to church.
Credit unions aren't for profit, and because they don't have outside shareholders, they aren't under any pressure to make money at the expense of their customers.
They offer a wide range of banking services, like loans, deposits, and financial planning, just like banks. The main goal of a credit union is to help its members, not to make money. They care a lot about customer service and meeting the needs of members because of this.
- Societies for Building
Building societies work the same way as banks and get most of their money from deposits from customers. The customers are like the members of a credit union. In a way, they own the society, which is why mutual societies are a common name for them.
- Banks
The Reserve Bank keeps an eye on the banks in Australia. Banks were the first places to lend money, and most of their money comes from term deposits and savings deposits made by customers through their branch networks.
Customers get interest on the money they deposit, which can then be used to lend to other people. In return, these people pay the bank interest on the money they borrowed. Banks make most of their money from the difference between the interest they pay on deposits and the interest they get on loans.
