Investment

Securing membership of the Scheme and investment of your funds is completed in two stages:

Stage One
Application and Registration

To invest with RMBL we ask that you read the current Product Disclosure Statement (contact RMBL to obtain a copy) then complete the Application Form (which accompanies the Product Disclosure Statement), Identification Check requirements and Waiver and return all forms to us with your funds.

Alternatively, you can speak with one of RMBL’s team members on 03 9213 5700, or email our Investment Team at team@rmbl.com.au.

Upon receipt of the Application Form, Identification Check and Waiver with your funds, your funds will be held in the Trust Account with the Bank pending Stage Two.


Stage Two
Investment in a Sub Scheme

Upon completion of Stage One, and subject to availability, RMBL will offer you a Sub Scheme or multiple Sub Schemes in which to invest. RMBL will forward you a Supplementary Product Disclosure Statement (SPDS) with a consent form detailing the information of one or more Sub Schemes. One SPDS will only relate to one Sub Scheme.

The Consent Form(s) must be returned to RMBL within five working days from the date of receipt. Upon receipt of the Consent Form(s), your funds will be allocated to your nominated Sub Scheme(s) and at that time, you will start to earn the interest rate applicable to that Sub Scheme(s).

Key facts

Frequently asked questions

What is a Contributory Mortgage Investment?

The Scheme known as RMBL Mortgage Income Investments offers investment in Loans, which are secured by first registered Mortgages over legal interests in real property in Australia. Each Loan approved by RMBL is known as a Sub Scheme and is separate from other Sub Schemes.

The mortgages are registered in the name of RMBL being the mortgagee or lender. Each Member contributes their funds to one or more Sub Schemes. Retail Members approve the security for their investment after receiving the specific details of a particular Loan, in a Supplementary Product Disclosure Statement.

As the Scheme is not a "pooled fund", your entitlement to income or capital is based only on your investments in a specific Sub Scheme and you have no right to the income or capital of other Sub Schemes. Upon receipt of a Consent Form and allocation of your funds to a Sub Scheme there is no cooling off period and you have no right to withdraw from a Sub Scheme.

What criteria is used to assess loan applications?

RMBL requires Borrowers to provide RMBL with the following information to assess the suitability of the proposed loan: 

  • details of current assets and liabilities and other relevant financial information;
  • where a loan is for construction or development purposes, details of costs involved and pre-sales obtained as well as any building contracts;
  • copies of contracts of sale;
  • identification check.

All of this information is then provided to RMBL’s Credit Committee who assess this information having regard to the suitability of the Borrower and quality of the security property. A majority of the Credit Committee must agree to approve the Loan.

Are there compensation arrangements in place?

RMBL must maintain adequate compensation arrangements at all times in accordance with its Licence requirements. To meet these requirements, RMBL has in place a professional indemnity insurance policy, which covers all of RMBL’s employees, officers, directors and Authorised Representatives. This policy provides cover of up to $10 million.

Further, RMBL requires adequate professional indemnity policies to be in place for all of its external service providers (such as Valuers, Quantity Surveyors, Real Estate Agents and Interstate Solicitors) before they can be officially appointed to RMBL’s Panel.

What are the benefits of investing in the Scheme?

The significant benefits of investment in the Scheme can be described as follows:

  • With over 57 years experience in Mortgage lending and investment, your funds are managed by professionals with extensive expertise in this area.
  • RMBL assesses each Borrower and each Loan to ensure that the Loan is suitable to be included in the Scheme.
  • You will receive a competitive rate of return on a regular basis (usually monthly). You may elect to reinvest your interest if you wish.
  • As the Scheme is not a “pooled fund”, you have the opportunity to choose the Sub Scheme in which you invest allowing you to exercise control in your investment decision. You may become accustomed to particular types of Sub Scheme Property or Loans or you may wish to spread your funds across a number of Sub Schemes.
  • You may invest in the Scheme with a minimum investment amount of $10,000 and in multiples of $1,000 thereafter.

How is the security for each Sub Scheme valued?

RMBL obtains an independent valuation from one of its Panel Valuers (all of RMBL’s Panel Valuers are required to provide RMBL with a copy of their professional indemnity insurance policy, and company profile before they can be appointed) before lending on a Sub Scheme Property. The valuation must not be more than three months old. If the valuation is more than three months old, a new valuation of the Sub Scheme Property is obtained before an advance is made to a Borrower.

An independent valuation is used to calculate the loan to value ratio (LVR) and RMBL will lend to a maximum LVR of 66.66% of the Sub Scheme Property.

Where a loan is for construction or development purposes, RMBL can at its discretion accept a Quantity Surveyor’s or Engineer's report instead of a valuation report during the term of the construction or development. All of RMBL’s Quantity Surveyors and Engineers are also required to provide RMBL with details of their professional indemnity insurance and company profile. 

Information you can expect to receive from RMBL?

Acknowledgement

Confirming receipt of your funds for investment.

Supplementary Product Disclosure Statement (SPDS) and Consent Form

Providing details of the Sub Scheme offered to you, along with the Consent Form which must be completed and returned to RMBL within 5 working days from the date of receipt for allocation to the Sub Scheme.

The SPDS will contain information such as:

(a) Details of the Borrower;
(b) The amount of the Loan advance to be advanced to the Borrower;
(c) The Commencement Date of the Sub Scheme;
(d) The Due Date of the Sub Scheme;
(e) The Lower and Higher Rate of interest payable;
(f) How interest will be calculated;
(g) When interest will be paid;
(h) Details of the Sub Scheme Property;
(i) The name of the valuer, the value of Sub Scheme Property, the relevant date and the basis of the valuation;
(j) The applicable LVR;
(k) The Type of Sub Scheme Property;
(l) Insurance particulars for the Sub Scheme Property (if applicable);
(m) Statement regarding the Borrower’s creditworthiness;
(n) Reference to the Loan documents executed by the Borrower;
(o) Fees charged to the Borrower.

The SPDS may contain other information that is relevant to a Sub Scheme.

Declaration of Trust
Confirmation that RMBL stands possessed of your funds along with the Mortgage documents specific to your nominated Sub Scheme on trust for you.

Interest Statement
This will be forwarded to you whenever interest is distributed to you. You may request a statement for any other period.

Annual Tax Statement
RMBL will provide a statement to you showing the amount of interest received during the relevant financial year.

Investment Summary
Upon request, RMBL will prepare a list of Sub Schemes where your funds are invested.

Notification of Default
If there is an event of default by a Borrower, you will be informed in writing of the default and the steps that RMBL is undertaking to rectify the default.

Interest Rate Change Advice
You will be advised within 7 working days of a change to the variable interest rate.

Members Newsletter
Made available on our website on a quarterly basis.  A hard copy is available on request.