How to recognise good financial advisor?

1. The mortgage advisor is not a sales representative

A good mortgage advisor is usually an independent so he should logically cooperate with several financial institutions and not only offer products from one of them, otherwise it would be a sales representative of a particular bank. The main reason why the services of independent mortgage (financial) advisors use them is primarily the wider range of services offered and their experience.

2. He listens first, then suggests a solution

A quality mortgage advisor will first listen to you, find out ideas about the acquired property, verify your financial possibilities, time frame and actually the reality of your entire project. A good advisor never offers a single solution or offer from one bank at the first meeting. From the first call or meeting, count about one week before suggesting a suitable solution and submitting a comparison of the offers of more banks or building societies.

3. Certification and passing the professional exam

Beginning 1 December 2018, the provision of consumer credit for housing (mortgages) is regulated by the CNB’s rules and all “creditors” must be properly certified. We wrote here. So make sure that you meet this condition and make sure you are not dealing with someone who will only forward your documents to your friend. Even though there has been a significant reduction in the number of intermediaries, we recommend that you find the history of your advisor in the Commercial Register or Trade Register, as well as the details of the intermediary’s age or the length of time the company operates in the market.

4. Offer of the loan

If your adviser promises you an unrealistically low interest rate, be careful. The Consumer Credit Act regulates the form of the loan offer, so it must always include: APR, interest rate, details of all fees, which are part of the total cost of the loan, the amount of the individual installments and the total amount due, the duration of the loan, information on the obligation to conclude a contract on supplementary service related to the loan (especially insurance if the conclusion of such a contract is a condition for obtaining a loan under the conditions offered).

Be realistic and not be tempted by unrealistic temptations and insist that the submitted bid contain legal requirements.

5. References, experiences

We recommend that you check the references of your consultant, ask for a phone call with a previous client. If the client was satisfied, he would certainly not refuse to help his advisor to acquire a new client. On the other hand, a serious consultant will not lure you into contact with his friends, but will rather rely on you to recommend it because you want the best for your friends.

If you have some doubts with offer of loan you have and needs our advise please contat us through the form.