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'Bell and whistle' brokers missing the point

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Australian Broker | 07 Mar 2012, 07:00 AM Agree 0
An industry leader has claimed brokers must shy away from merely seeking out loans "with the best bells and whistles"
  • Aydn O'Neill | 07 Mar 2012, 10:27 AM Agree 0
    I think Pennels is missing the point. As a broker you get sick of so called industry experts telling you how it should be done. Why can't you go on the journey and offer clients the bells and whistles. It's your perogative as a broker to help clients achieve their goals and i promise I won't tell you how to do it. If your not a good broker then your clients will only be good for one transaction. Thanks for all your help though.
  • Chris C | 07 Mar 2012, 10:32 AM Agree 0
    Obviously our industry leader is talking from experience within his own business. Not all are like yours Tony ... we do in fact work on maintaining good and long term client relationships whilst at the same time giving a good service level and an holistic product base to our clients to suit their overall business and investment strategies.
  • Rach | 07 Mar 2012, 12:57 PM Agree 0
    Told how to suck eggs again - really ? Getting a bit tired of being condescended to by "experts" - Gee I've only been doing it 10 years, wonder where I've been going wrong ?
  • Tony Pennells | 07 Mar 2012, 01:49 PM Agree 0
    Hi guys.

    Thanks for your comments.
    The headline to this article is quite misleading and taken out of context. It should be more like "Banks and Lenders miss the point".
    The point I was trying to make was that lenders all fight to position their loans as 'the best', whereas the client didn't start out wanting a loan. They started out wanting to buy a property (or release equity from the property), and they need a loan to make it happen.
    A number of brokers and broking businesses we talk to are looking to integrate additional products and services into their business, but are unsure where they should be focused.
    Evolve a service offering to clients is a little easier if we start with the fact that the client is looking to buy a property, and the loan is one part of that.
    Whether it be a referral relationship or strategic alliance; adding risk/insurance; fee-for-advice around cash-flow management; self-managed super funds; investment advice; or assisting with buy-sell agreements for business owners, or any other additional product or service. It is a little easier to make better quality longer term decisions if we understand why the client has come to us to start with.

    Each business is different and no one plan will suit all businesses.
    A number of businesses are solid, with great service propositions to their clients, and see no need to change their offering or their focus, and nor should they.
    However in these changing times we need to try to make sure that the decisions we make are quality ones that add real value to our clients. This will not only help 'ring fence' our client base, but also more us closer to being their trusted advisers.

  • David | 08 Mar 2012, 01:26 AM Agree 0
    With respect Mr Pennells, I do not want to be everything to my 281 clients. If they want a loan they come to me, if the want accountancy advise, they go to their accountant, and if they want Financial planning advice, guess where I tell them to go! We are all professionals, in our own field, and the day I go to my mechanic to get my teeth fixed, is the day I will give up.
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