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Asset Finance Commissions Overview

This article provides a high-level overview of how commissions work within CAF. Use this article to understand how and when commissions are paid through CAF, how invoices affect payment, where to view statements, and how commission clawbacks are handled.

Updated this week

How Asset Finance commissions work

Asset Finance commissions are generally paid by the lender to Connective and then passed on to you. Commission structures and payment timing vary by lender and product type.

Some lenders pay commission at settlement, while others pay monthly in arrears or on different schedules depending on the deal type.

When Asset Finance commissions are paid

Connective processes Asset Finance commission payments daily.

  • Where a lender pays commission at settlement and a CAF invoice has been raised in Mercury, you can generally expect payment within one to two business days of settlement.

  • Where a lender pays commission in arrears, Connective typically pays within a few days of receiving the commission from the lender.

For lender-specific timing, see Asset Finance Lender Payment Schedules.

Raising CAF invoices

Some lenders require an invoice before they will release commission.

Even where an invoice is not mandatory, Connective strongly recommends that brokers create a CAF invoice for all Asset Finance deals to help ensure there are no delays or issues with commission payments.

Raising a CAF invoice:

  • Confirms your deal has settled

  • Alerts Connective that commission is expected

  • Reduces the risk of missed or delayed payments

For step-by-step instructions, see How to Generate a CAF Invoice.

Important: If you raise an invoice after settlement, you may need to notify the commissions team so they can locate the corresponding lender payment.

Viewing commission statements and RCTIs

Commission statements and Recipient Created Tax Invoices (RCTIs) are available in the Commissions app in Mercury.

To access your statements:

  • Log in to Mercury

  • Open the Commissions app

  • Select the CAF Commissions tab

  • Choose the statement you wish to view or download

Updating your commission payment details

To update the bank account your commissions are paid into, go to the Membership Centre in Mercury.

Only Directors or Business Owners can access the Membership Centre. You can choose to:

  • Receive Asset Finance commissions into the same account as other commissions, or

  • Nominate a separate account for Asset Finance commissions

Commission splits

Commission splits to payees or referrers are not currently supported for Asset Finance.

All Asset Finance commission is paid to the Connective Full Member.

Commission clawbacks

In some situations, Asset Finance commissions may be clawed back by the lender after payment.

A clawback occurs when a lender reverses all or part of a commission that has already been paid. This typically happens when a loan does not meet the lender’s ongoing requirements.

Common reasons for commission clawbacks may include:

  • The loan is repaid, refinanced or discharged within a short period

  • The client defaults or the loan is written off

  • The lender determines the deal no longer meets eligibility or policy requirements

Clawback conditions, timeframes and amounts vary by lender and product.

If a lender claws back commission, Connective is required to pass the clawback on to the broker. This may result in:

  • A negative commission adjustment, or

  • The clawback being offset against future commission payments

Note: Volume Bonus Incentives (VBI) and other incentive payments may also be impacted by clawbacks. See Asset Finance VBI (Volume Bonus Incentive) for more information.

Need help?

If you have questions about Asset Finance commissions, contact your Partnership Manager or email [email protected].

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