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Genworth stands ground on LMI

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Australian Broker | 09 May 2011, 05:00 AM Agree 0
Genworth has responded to the Senate banking inquiry's calls to make LMI transferrable or pro rata refundable
  • Patrick | 09 May 2011, 05:39 PM Agree 0
    Genworth is talking absolute claptrap. An LMI policy covers a loan for the life of the loan up to the full term of 25 or 30 years. A rebate to the lender within the first two years is not portability. The borrower still has to pay a full new LMI premium unless the LVR has lowered through amortisation or property value appreciation. Further I have never heard of any lender providing a part refund of the LMI premium, so where a rebate is applicable the lender is keeping it, despite the fact that it is the borrower who has paid the original premium.
  • Ozboy | 10 May 2011, 08:04 AM Agree 0
    The process to get a client their rebate is quite easy and works. We have helped quite a few clients get their rebate. Really wish brokers knew their facts before jumping on the "lender bashing" wagon.
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