(Current as at 25 June 2010)

Conflict of Interest Procedure

OBJECTIVE

This document defines the Conflict of Interest procedure in accordance with NCCPA.   At no time should the achievement of volume targets be favoured over the interests of the client. All Northend Mortgage staff need to adhere to this policy at all times. This policy is on an ongoing basis. 

1. Identify potential Conflict of interest

Conflict of Interest arises when a higher rate of commission is paid by the lending institution for   achieving the desired volume for their product. If a customer is offered a product that falls under this criteria, then further information has to be provided in the Credit Assessment checklist.

2. Document potential areas of conflict

Any conflict or believed to be conflict has to be identified at Point 7 “Other relevant Information” section of the Credit Assessment Checklist.

3. Steps to NOT disadvantage customer

The customer needs to be made aware of all products that are available from every lender that is currently being serviced.

A current list of products should be maintained and be available to the customer at all times.

Thoroughly discuss with customer if the product concerned suits their needs. A detailed explanation of why the customer wants the particular product and why it is more beneficial over others (given the same circumstance) need to be provided at Point 7 of the Credit Assessment Checklist. The customer needs to be made aware of all fees and charges attributable to the particular product.