Prepare a client loan application for case scenario 1 This activity requires you to prepare a client loan application for case scenario 1 To do

For trainer/assessor: For the simulated environment

· The trainer/assessor or supervisor must ensure that the student is made familiar with the existing workplace practices used in the workplace.

· The trainer/assessor must ensure that the student has access to the following in the simulated workplace scenario:

· Office equipment, technology, software and consumables

· Computer

· Internet

· MS Word

· Printer or e-printer

· Team members

· BrokerEngine

· Contact software system and data

· Clients as mentioned in the case scenarios

· Organisational products and information

· Organisational policies and procedures documentation.

· The trainer/assessor will take on the role of the lender.

· The trainer/assessor must ensure that the student has access to the internal stakeholders of the training organisation.

· The trainer/assessor will assign the role of the client for case scenario 1 to the staff member of the training organisation.

· The trainer/assessor must brief the staff member regarding case scenarios provided above.

· The staff member must discuss the information requested by the student/broker based on the case scenarios and the scripts provided.

· The trainer/assessor must assess the student using the performance checklist provided.

For trainer/assessor: For the simulated environment

· The trainer/assessor or supervisor must ensure that the student is made familiar with the existing workplace practices used in the workplace.

· The trainer/assessor must ensure that the student has access to the following in the simulated workplace scenario:

· Office equipment, technology, software and consumables

· Computer

· Internet

· MS Word

· Printer or e-printer

· Team members

· BrokerEngine

· Contact software system and data

· Clients as mentioned in the case scenarios

· Organisational products and information

· Organisational policies and procedures documentation.

· The trainer/assessor will take on the role of the lender.

· The trainer/assessor must ensure that the student has access to the internal stakeholders of the training organisation.

· The trainer/assessor will assign the role of the client for case scenario 2 to the staff member of the training organisation.

· The trainer/assessor must brief the staff member regarding case scenarios provided above.

· The staff member must discuss the information requested by the student/broker based on the case scenarios and the scripts provided.

· The trainer/assessor must assess the student using the performance checklist provided.

Steps

Place a tick mark, once completed

Step 1: Determine the client's goals, objectives, and confidentiality requirements.

· Analyse the information given in case scenario 2.

· Determine the client goals and objectives related to the loan and document using Template 2.

· Identify the confidentiality requirements requirement and document using Template 2.

·

Step 2: Obtain client’s financial and personal information.

· Consult with the client and obtain the following financial and personal information:

· Total cost of property.

· Total saving

· Work details

· Dependants

· Total expenses

· Loans and credit details

· Document the identified information using Template 2.

Client to discuss the following:

· Total home cost: $550,000.00

· Combined income details:

· $7,200 per month before tax.

· Dependants: 0

· Total expenses: $1,500/per month

· Credit scenario:

· Credit card: $2,000

· Car loan: $450/month

· Existing saving: $60,000

·

Step 3: Determine the information needed to support a loan application in accordance with codes of practice, legislative, and regulatory requirements.

Document the information needed to support a loan application using Template 2.

·

Step 4: Gather the necessary documents and signatures for the loan application.

· Request the client to provide the following details.

· Bank statements

· Copies of tax forms

· Request the client to sign the loan application document.

Trainer/assessor to provide the following documents to the student:

· Sample of bank statements and tax forms

· Loan application form

·

Step 5: Inform the client about the loan preparation and presentation process.

· Discuss with the client regarding the loan preparation and presentation process.

· Clarify the information requirements of the student.

· Document the loan preparation and presentation process discussed with the client using Template 2.

·

Step 6: Verify loan requirements and review supporting documentation for accuracy and readability.

· Verify loan requirements requirement with the client.

· Review supporting documentation for accuracy and readability.

· Bank statements

· Copies of tax forms

· Further, document the following using Template 2.

· Loan requirements

· Checks conducted on supporting documents to ensure accuracy and readability.

·

Step 7: Provide documentation that accurately reflects the client's financial situation and personal information in accordance with the lender's requirements and guidelines to the lender (Trainer/assessor).

· Go over documents with the client and confirm information.

· Complete document execution in accordance with organisational procedures as needed.

· Complete the home loan form provided along with the assessment. Ensure the documentation accurately reflects the client's financial situation and personal information.

·

Step 8: Comply with client confidentiality requirements when submitting documents to the lender or approving officer.

Further, document the client confidentiality requirements complied with when submitting documents using Template 2.

·

Step 9: Obtain lender or approving officer decision and notify client of loan offer or non-offer in accordance with organisational policies and procedures.

Discuss in the e-mail how to proceed following the lender’s decision on the non-offer.

Lender (Trainer/assessor) to discuss that the loan is rejected due to bad credit history.

·

Sign off:

Supervisor’s signature:

Sign-off date:

Client loan application for case scenario 2

Confidentiality requirements requirement

Client’s financial and personal information

Total cost of property.

Total saving

Work details

Dependants

Total expenses

Loans and credit details

Information needed to support a loan application

Loan preparation and presentation process

Loan requirements

Checks conducted on supporting documents to ensure accuracy and readability

Confidentiality requirements complied with when submitting document

For trainer/assessor: For the simulated environment

· The trainer/assessor or supervisor must ensure that the student is made familiar with the existing workplace practices used in the workplace.

· The trainer/assessor must ensure that the student has access to the following in the simulated workplace scenario:

· Office equipment, technology, software and consumables

· Computer

· Internet

· MS Word

· Printer or e-printer

· Team members

· BrokerEngine

· Contact software system and data

· Clients as mentioned in the case scenarios

· Organisational products and information

· Organisational policies and procedures documentation.

· The trainer/assessor will take on the role of the lender.

· The trainer/assessor must ensure that the student has access to the internal stakeholders of the training organisation.

· The trainer/assessor will assign the role of the client for case scenario 3 to the staff member of the training organisation.

· The trainer/assessor must brief the staff member regarding case scenarios provided above.

· The staff member must discuss the information requested by the student/broker based on the case scenarios and the scripts provided.

· The trainer/assessor must assess the student using the performance checklist provided.

Steps

Place a tick mark, once completed

Step 1: Determine the client's goals, objectives, and confidentiality requirements.

· Analyse the information given in case scenario 3.

· Determine the client goals and objectives related to the loan and document using Template 3.

· Identify the confidentiality requirements requirement and document using Template 3.

·

Step 2: Obtain client’s financial and personal information.

· Consult with the client and obtain the following financial and personal information:

· Total cost of property.

· Total saving

· Work details

· Dependants

· Total expenses

· Loans and credit details

· Document the identified information using Template 3.

Client to discuss the following:

· Total home cost: $1.2 million

· Income details:

· $80,000 per year as salary.

· 1 million franked dividends available

· Dependants: 0

· Total expenses: $1,500/per month

· Credit scenario:

· Credit card: $20,000

· Car loan: $650/month

· Credit history: Clean

· Existing saving: $300,000

·

Step 3: Determine the information needed to support a loan application in accordance with codes of practice, legislative, and regulatory requirements.

Document the information needed to support a loan application using Template 3.

·

Step 4: Gather the necessary documents and signatures for the loan application.

· Request the client to provide the following details.

· Bank statements

· Copies of tax forms

· Request the client to sign the loan application document.

Trainer/assessor to provide the following documents to the student:

· Sample of bank statements and tax forms

· Loan application form

·

Step 5: Inform the client about the loan preparation and presentation process.

· Discuss with the client regarding the loan preparation and presentation process.

· Clarify the information requirements of the student.

· Document the loan preparation and presentation process discussed with the client using Template 3.

·

Step 6: Verify loan requirements and review supporting documentation for accuracy and readability.

· Verify loan requirements requirement with the client.

· Review supporting documentation for accuracy and readability.

· Bank statements

· Copies of tax forms

· Further, document the following using Template 3.

· Loan requirements

· Checks conducted on supporting documents to ensure accuracy and readability.

·

Step 7: Provide documentation that accurately reflects the client's financial situation and personal information in accordance with the lender's requirements and guidelines to the lender (Trainer/assessor).

· Go over documents with the client and confirm information.

· Complete document execution in accordance with organisational procedures as needed.

· Complete the home loan form provided along with the assessment. Ensure the documentation accurately reflects the client's financial situation and personal information.

·

Step 8: Comply with client confidentiality requirements when submitting documents to the lender or approving officer.

Further, document the client confidentiality requirements complied with when submitting documents using Template 3.

·

Step 9: Obtain lender or approving officer decision and notify client of loan offer or non-offer in accordance with organisational policies and procedures.

Lender (trainer/assessor) to discuss the following with the broker:

· Additional information is required to complete the application. This includes:

· How old is the ABN number for sole trading?

·

Step 10: Gather any additional information requested by the lender to support the loan application.

· Gather necessary information requested by the lender from the client.

· Document the identified additional information using Template 3.

Client to discuss the following:

· How old is the ABN number for sole trading? 24 months.

·

Lender (Trainer/assessor) to discuss that the loan is approved.

Step 11: Provide the necessary information to the client if the loan application is rejected via e-mail.

Discuss in the e-mail how to proceed following the lender’s decision on the offer.

Take a screenshot of the e-mail and submit to the trainer/assessor.

·

Sign off:

Supervisor’s signature:

Sign-off date:

Client loan application for case scenario 3

Confidentiality requirements requirement

Client’s financial and personal information

Total cost of property.

Total saving

Work details

Dependants

Total expenses

Loans and credit details

Information needed to support a loan application

Loan preparation and presentation process

Loan requirements

Checks conducted on supporting documents to ensure accuracy and readability

Confidentiality requirements complied with when submitting document

Additional information requested by the lender

For trainer/assessor: For the simulated environment

· The trainer/assessor or supervisor must ensure that the student is made familiar with the existing workplace practices used in the workplace.

· The trainer/assessor must ensure that the student has access to the following in the simulated workplace scenario:

· Office equipment, technology, software and consumables

· Computer

· Internet

· MS Office

· Printer or e-printer

· Team members

· Legislation, regulations and codes of practice applicable to risk management

· Standards for risk management as indicated by regulators.

· The trainer/assessor will take on the role of the lender.

· The trainer/assessor must ensure that the student has access to the internal stakeholders of the training organisation.

· The trainer/assessor take on the role of Operations Manager.

· The trainer/assessor will further assign two (2) finance team members to the student.

· The trainer/assessor will assign the role of the finance team members to the staff members of the organisation.

· The trainer/assessor must brief the finance team members regarding information given in the case study.

· The trainer/assessor must assess the student using the performance checklist provided.