What is an ORP?
Ongoing Rebate Payments (ORP) is money we pay to your loan from Ongoing Commission we receive from your lender for brokering your mortgage.
When and how much?
ORP’s are smaller payments paid monthly for the life of your mortgage. ORP’s are 100%** of the entire Ongoing (sometimes called Trail Commission received by Mates Rates.
It includes any special discounts or bonuses that affect the Upfront Commission paid by your lender to Mates Rates for your loan.
I am currently paying 5.10% interest, but with the Mates Rates Rebate of 0.30% I am effectively paying 4.8%.
Below are the rebates that I have had direct deposited into my offset account over the past 6 months thanks to Mates Rates generous rebate structure:
August $165.09, July $160.07, June $165.40, May $149.39, April $165.30 March $165.20
I could not recommend Mates Rates Mortgages highly enough.
Darren
From little thing big things grow.
Although ORP payments start out a LOT smaller than an SRP, the can really add up over time, especially if you deposit them as extra payments to your mortgage. All ORP’s ares yours to keep, no matter what happens. Even if the lender initiates a “clawback”.
What’s clawback? It’s complex and it’s nasty. But don’t worry, at Mates Rates, it doesn’t affect you, because you keep your ORP no matter what.
Can I get an SRP and ORP?
Sorry, but we have to pay our staff because we need them to look after you. You can only choose one or the other.
** As of Monday 16th January 2012, Mates Rates Mortgage Brokers will charge a $5.00 monthly administration fee to maintain each monthly payment of the Cashback/Rebate to your nominated account. Multiple loans will be made as a single payment to your nominated account and will incur a single fee. Multiple payments will incur the administration fee for each individual payment. Payment of the fee can be deducted from the rebate payment each month or charged to your nominated Mastercard or Visa card each month.
