Our Partners

 

Who is Lawfund?

 

Lawfund is our Aggregator, which means that they allow us to process the loans to the banks due to the large number of loans which they settle each month. Lawfund was established in 1995 by solicitors for solicitors and their clients.  It was intended primarily for value adding and increasing the revenue of law firms by creating a new and effective profit centre within their existing business structure. Lawfund was a Finalist in 2004 in the prestigious Australian Mortgage Awards.

 

The large volumes that are submitted by Lawfund allow them to negotiate top rate industry commissions paid by the lenders, therefore enabling the National Community Finance Group to give more sponsorship dollars upon settlement of the referred loan.  They deduct a percentage of the commission to cover these types of services provided.

 

Lawfund co-ordinates all training and monitors the compliance issues required of its Lending Managers so that we maintain a high level of knowledge and experience necessary to be professionals in this field.

 

We are proud to be associated with Lawfund and with their partnership we have access to over 150 Lending Managers Australia wide enabling our borrower/clients access not only within their community but around the nation as well.

 

Commissions

 

National Community Finance Group is paid by the banks approx. 30 days after the settlement of the loan. The Bank makes payment two ways, the first being the upfront commission which is the one that we use to calculate the funds for sponsorship dollars.

 

The second is the trail payment which is not used for sponsorship dollars. This is absorbed by us to cover our running costs associated with the running of our business and ongoing assistance to clients.

 

The trail payment is paid to the consultant for the life of the loan and the average life expectancy is 5 years. It is a much smaller commission and is calculated on the average loan balance for the month and paid each month by the lending institutions.

 

 

Example of Sponsorship

 

Total Amount Borrowed by client                                 $250,000

 

Commission Paid based on 0.70%                                $1750

 

Less Lawfund Fee                                                        $350

 

Less Payment to Lending Manager & Consultant           $750   

 

Less NCFG Administration Fees                                  $250

 

Surplus Available for Sponsorship                            $400

 

 

National Community Finance Group Risks

 

The Banks and other institutions have strings attached to the commissions that they pay us, these are called clawbacks.  These generally occur if the borrower refinances their loan within the first 12 months of taking out the initial borrowings.  We do not ask for our sponsor dollars back either from Lawfund or our Lending Managers we absorb this clawback.

 

Clawbacks are not frequent, but they are a part of our business and a risk that needs to be covered within our planning.

 

 

Sponsorship Guide

 

This Chart is indicative of the sponsorship dollars we can assist your club with based on loan amounts. It is important to note that the minimum loan amount for the National Community Finance Group that we can contribute sponsorship dollars to your club is $50,000.

 

Of course loan amounts for less than this can still be obtained and the borrower will be made aware from the start whether money they are borrowing will attract some sponsor dollars or not.

 

We have access to over 150 Lending managers nationally this payment chart is the same for each State and Territory.

 

The Sponsorship amount is calculated on a commission payment of 0.70%. This is the average paid by most lenders however it can vary from Bank to Bank, but we have undertaken to pay the amount listed on the schedule – sponsorship dollars 

 

Sponsorship Dollars

 

Loan Amount	Sponsorship Dollars
$0 - $50,000	NIL
$50,001 - $150,000	$100
$150,001 - $200,000	$200
$200,001 - $250,000	$300
$250,001 - $300,000	$400
$300,001 - $400,000	$500
$400,001 - $500,000	$600
$500,001 - $600,000	$700
$600,001 - $700,000	$800
$700,001 - $800,000	$900
$800,001 - $900,000	$1,000
$900,001 - $1,000,000 and Above	$1,100

 

 

The Average loan size in most parts of Australia is around $200K now if your club was to give one referral per week which is settled, then you would receive $1,200 per month from our sponsorship program.  If this is achieved for the entire 12 months National Community Finance Group would be able to Sponsor your club to the amount of $14,400. Which I am sure you agree would go a long way to helping your club and its members.

 

Please note commercial, rural, business, leasing or personal loans are different to home loans, so sponsorship regarding these loans will be calculated when the Financial Institutions advise National Community Finance Group of any payments forth coming.

 

Thank you for your time and we look forward to a long and lasting relationship with your organisation.

 

 

Regards

 

Barry Trewin

Director