Brokers originate more than half of all home loans in Australia

We support you

 

We recognise the uncertainty and concern that the final report from the Royal Commission creates for the mortgage broking community.

We believe that as a broker, you play an essential role in the mortgage industry. You provide consumers with access to loans from the big and small lenders, stimulating competition within the lending market. The health of the broking sector and the competition it creates is vital in achieving the best outcomes for home loan borrowers.

We support the six principles of the Combined Industry Forum (CIF) package which includes a carefully managed up-front commission structure. We feel that the changes recommended by the report from the Royal Commission on the other hand, threaten to reduce competition in the mortgage industry, penalising consumers who could end up paying more for mortgages.

Accordingly we are urging lawmakers to think carefully about the consequences of changes, as anything that diminishes competition or reduces consumer access to a wide range of mortgage options would be detrimental to all Australians.

We have voiced our opinion to industry media and we have contributed to the current MFAA ‘Don’t Kill Competition’ advocacy campaign. We are also issuing a communication to our customers advising our support for you, and our opposition to the proposed remuneration changes. This communication will invite them to sign and share the MFAA-led petition at www.brokerbehindyou.com.au.

We will continue to support you through this changing environment as we seek to ensure the continued success of the mortgage broking industry into the future.