Finance and Mortgage Broking: Loan Process and Role Play Scenarios

FINANCE
AND
MORTGAGE
BROKING

Contents
TASK...............................................................................................................................................2
Role Play 1: Interviewing the Client:...............................................................................................2
Role Play 2: Presenting the loan offer to Jennifer and Philip:.........................................................4
Role Play 3: Loan Application Outcome:........................................................................................4
Role Play 4: Loan process debrief and feedback:............................................................................4
Role Play 5: Colleague and manager interactions:..........................................................................4
Role Play 6: Other stakeholder interactions:...................................................................................4
REFERENCES................................................................................................................................5

TASK
Role Play 1: Interviewing the Client:
The interview has been conducted between the Broker named as Jack and the client names as
Jennifer and Phillip and they both came to the office of Broker to undertake the meeting.
Jack: Hello Sir, please have a seat.
Phillip: Hello Thanks!
Jack: How can I help you Sir?
Phillip: Sir we both are looking for the housing loan from the bank. But we don’t have an idea
that what should be the process for getting the loan. Can you please explain to us in detail about
all the process?
Jack: Ok sir, first off all I will inform you regarding the role of mine in loan lending process. Sir
I am broker and part of the consultancy firm engaged in providing the finance to the needy
people by proper guiding them regarding the whole process. For providing such services we
charge certain amount of fees against the services we offered to you!!
Phillip: Can you please elaborate that for how much time you are under the profession and what
best you can do for us.
Jack: Sir as you know that we are offering the broker services and we are in the business for 10
years. This business has been started to ensure that clients does not engage in unnecessary paper
work as they do not have the idea that from where they have to start from in order to get their
loan financed from the lending institutions.
Phillip: What is your role in the lending process of the financial institution?
Jack: The role of ours will be that we first of all carry out the research in the market in order to
determine or source a mortgage suitable for the borrowers. We collect all the relevant document
that are being required as supporting documents in loan application process such as bank
statements, pay slip, identification and address proof etc. Ensure that the processing fees charged
by the bank on loan will be addressed to the client and so on.
Jennifer: What about the charges we have to pay to you for all such services?
Jack: Mam, the price we charge is fixed that is $200. Sir anything else would you like to know
about the loan?

Phillip: Is the rate of interest fixed or flexible for our loan and what will be the difference
between the two rates.
Jack: Sir I will provide you the difference between both types of home loans which are
mentioned in this book:
 In fixed rate of interest loan, the rate has been fixed throughout the tenure of the loan. It
does not get changed with the change in repo or reverse repo rate.
 On the other hand, the floating interest rate changes with the changes in reverse repo and
repo rate and the monthly instalment may increase or decrease with the change in such
rates.
Phillip: The documents you needed for processing of the loan application has been send by me
on your mail.
Jack: Wait sir, let me check... Received, I will update you on timely basis regarding the loan
application. Now I will submit these documents to the lending institution. I will arrange all the
documents and will proceed further. You can contact me anytime in case there is any problem. I
will be in contact with you every time.
Phillip: Ok. Thank you very much.
Role Play 2: Presenting the loan offer to Jennifer and Philip:
Again the conversation has been takes place between Jack and Phillip & Jennifer regarding the
loan proposal at their home.
Jack: Hello sir, how are you?
Phillip: Sir I am fine... Thank you!!!
Phillip: Please explain about the range of product available to us in obtaining the loan.
Jack: Ok sir, I will provide you the list that contain various types of loan and their applicable
interest rate. Please see to this:
Amount Rate of interest Repayment time
period
Lending Institutions
$ 450000 8.21% 48 Months XYZ Financial Institution
$450000 8.00% 36 Months PQR Financial Services
$ 450000 8.76% 58 Months Accenture Fund Services