What is the Financial Passport 'Insights' PDF and Transaction Report?
Key Takeaways for Brokers:
These documents are designed to provide a clear and detailed picture of your client's financial situation, making the loan application process smoother and more informed for both you and your Clients. |
As a Mortgage Broker using Frollo, understanding the Financial Passport 'Insights' document and Transaction Report is important for having meaningful "fit for finance" conversations with your Clients. Here's a breakdown of their features.
Insights PDF
Holistic Financial View
The Insights document provides a holistic financial overview of your Client, enabling you to have informed discussions about their financial situation.
Credible Information
The document contains credible information generated by Frollo, using data sourced directly from each Connected Data Holder (bank).
Summary Information
The document includes a summary of:
- Linked Bank Accounts.
- Employment and other income, with consistency and regularity insights.
- Liabilities and expenses.
- A date range and view of living expenses by monthly average.
Comprehensive Bank Account Data
Detailed bank account information is provided, such as:
- Institution name
- Bank account name
- Bank State Branch (BSB)
- Account number
- Repayment type
- Repayment frequency
- Interest rate
- Available balance (transaction accounts)
- Current balance (loans/credit)
- Limit (calculation of balance plus available redraw)
- Loan term expiry date
Financial Insights for Discussion
The document includes financial insights for discussion, such as Buy Now Pay Later (BNPL) spending, takeaway/gambling spending, account conduct, and more.
Frequently Asked Questions
1. Where living expenses are paid yearly (such as council rates and insurance) and the payment falls within the past 3 months, how is this averaged out over 12 months instead of 3?
- The Financial Passport Insights PDF is designed to support a range of average calculations, giving flexibility to choose the method most relevant to needs.
- The 12-month average calculation is dynamic, it adjusts to match the duration of the report. For example, if a Financial Passport is are generated for a 6-month period, the "Reports total monthly average" automatically becomes a 6-month average.
- In cases involving one-off yearly or quarterly payments, a 12-month average may not be meaningful. In such instances, using a 3-month average, or the transaction period average, would be more accurate.
Transactions Report
The transaction report can be generated with either 3, 6 or 12 months transaction history for all accounts, in the one spreadsheet, and can be downloaded.
It includes 3 tabs:
1. Dashboard: Summary of all the accounts that the applicant has linked via Open Banking.
2. ApplyOnline Categories: Includes monthly averages for income and expenses.
3. Transactions: Includes all transactions identified via Open Banking and the relevant details.
These can be sorted to suit your preferences and transactions recategorised where required. There are over 50 categories you can select from in the Category column drop down.
It also has an ApplyOnline Category column with the categories acceptable in ApplyOnline for submission to the lender. If any of the transactions are recategorised in this column, you can revisit the ApplyOnline Categories tab to see updated monthly averages.
The aim of the spreadsheet is to assist income and expense analysis.