Why an aggregator matters for your loan application

Written by David Lovato – CPC Development Lending Solutions

September 2024

Your finance broker is only as good as the lenders they have access to. That’s why aggregators exist, to act as a bridge between your broker and a broad range of lenders. This, in turn, provides you with access to a diverse panel of lenders and their offerings.

What is an aggregator?

An aggregator is an important partner for brokers, as they connect them with a single access point to multiple lenders. Instead of dealing with each lender individually, brokers use an aggregator to explore a variety of loan products, compare rates and stay updated on lender policies.

This saves time in your loan application process and improves your broker’s ability to offer tailored loan solutions that suit your financial circumstances, needs and goals.

Why does a good aggregator make a difference?

When you’re looking for a loan, having a broker backed by a strong aggregator can make all the difference. Here’s why choosing the right one matters for your financial success. 

1. Increases options

With a broader pool of lenders, like the more than 60 offered by the Loan Market Group (LMG), one of Australia’s leading aggregators, you’re not limited to the products and rates offered by one or two lenders. 

As a result, your broker can find the most competitive rates and tailored loan structures that align with your financial requirements.

For example, as the image below shows, LMG offers access to residential and commercial loans from all these lenders. 

Plus, the variety includes both large and small lenders, as well as banks and non-bank lenders. This gives borrowers a much wider range of lenders with varying loan requirements, assessment times and loan types, making it more likely you’ll find the loan to suit your needs.  

An aggregator like LMG also includes options for finance for other needs, like car loans, business loans, or equipment finance. This means you can attend to all your loan services under one roof.

2. Streamlines the process

Submitting applications to several lenders would be very time-consuming and tedious. With the help of an aggregator, you and your broker can efficiently compare offerings from various lenders within a single system, saving you time and streamlining the entire application process.

3. Prioritises security

Cybersecurity is a big concern, particularly in the finance sector. A good aggregator like LMG will be committed to protecting your sensitive information with industry-leading security measures. For instance, at LMG their award-winning InfoSec strategy is built on three pillars:

• Protecting data: Keeping both brokers’ and clients’ data secure
• Raising awareness: Fostering a community that understands cybersecurity risks
• Building trust: Instilling confidence in LMG’s platforms and security measures

As a borrower, the people with whom you share your sensitive information are a big consideration. So it is helpful to know that aggregators like LMG keep cybersecurity at the centre of their service. 

4. Updates regularly

When an aggregator focuses on great technology, their brokers and clients get to stay regularly updated on interest rate changes, new products and lender policies. 

LMG’s platform provides brokers with a continuous stream of real-time information. This means your broker stays informed and up-to-date, allowing you to make quick and accurate decisions, knowing all the options. 

5. Stays transparent and independent

One of the key benefits of working with a leading aggregator like LMG is its independence. Neither LMG nor CPC Lending Solutions are owned or controlled by any of the lenders on the LMG platform. This means we are not pressured to promote specific loan products and the recommendations we make are solely based on your best interests.

In contrast, going directly to a lender limits your options solely to that lender’s products, which may not be a good fit for your needs. With an aggregator, you are more assured of unbiased advice and a broader view of your options. 

 

Download the free 2024 CPC residential lending guide today. This guide will help you make an informed decision by outlining some of the key factors to consider when choosing your next home loan.

CPC Lending Solutions is a property development and residential finance specialist. Whether you’re a developer needing funding for land, construction, or residual stock, or a buyer looking for the perfect mortgage, we’re here to help. Contact us at [email protected] or fill in this form.