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Brokers failing to disclose conflicts of interest could derail commissions

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Australian Broker | 02 Jun 2014, 08:59 AM Agree 0
A major aggregator head has taken aim at bank-owned aggregators pushing their own products, saying the resulting conflict of interest could have serious ramifications for the industry
  • Bottom Line | 02 Jun 2014, 09:29 AM Agree 0
    And he wouldn't be just trying to undermine his competitors either....Maybe he should concentrate on lenders on his panel, that insist on volume requirements to maintain accreditation. If ASIC & APRA & others are happy with that, then they should have no problems with his issue, which is less of a conflict.
    New definition of a conflict of interest..."anytime something works in favour of the Broker".
  • Regional Broker | 02 Jun 2014, 09:38 AM Agree 0
    I am a broker with a bank owned aggregator and I can say I have NEVER had any pressure to pish a white label product or use one of the lenders that own.

    For me ( other may have a different opinion) , the assertions in the article are not applicable to me.
  • SanityPrevails | 02 Jun 2014, 09:38 AM Agree 0
    Wow Mark, reduced aggregation fees....Are you seriously complaining? Connective was built on the premise of reduced aggregation fees, full stop! Someone comes out with a product, that's cheaper than yours and you cry foul. Don't get me wrong, fundamentally your agreement is sound, your just the wrong business to start the discussion!
  • Tony Broker | 02 Jun 2014, 10:00 AM Agree 0
    Mr H " you cant be serious "
  • Coast Broker | 02 Jun 2014, 10:29 AM Agree 0
    I am a Member of a Bank Owned Aggregator and yes I do have access to their own Bank funded products. I do not see it as a Conflict of Interest as I state upfront who owns the Aggregator and I may use their own product. My NCCP Documentation would fully support my reason should I use their products. The issue is that the products are very good with good features, good fee structure and sharp Interest Rates. So they sell them sells. Commissions are still fully disclosed. I would say it more of a case of sour grapes from Mark Haron.
  • Darren | 02 Jun 2014, 10:48 AM Agree 0
    I have recently started in this industry and there are a large amount of articles and industry talk about reducing and removing broker commissions. Is this just attention grabbing news or a sign of the continual world wide removal of the opportunity for small business and continual grab by the world wide monopoly companies controlling everything???? In the 80's my commerce teacher taught how we never wanted to see a world full of monopolies but it seems that that teaching has been forgotten. The small business provides opportunity to those who want to work and personal service to customers who want it. These are things that are not easily achieved by monopolies but are easily achieved by small business. Its true everyone needs regulation but Please don't remove broker commissions.
  • Broker | 02 Jun 2014, 11:01 AM Agree 0
    Gee , banks had better ban all commissions immediately then, so we can all work for them for free.
  • Joe Broker | 02 Jun 2014, 11:27 AM Agree 0
    Regarding "...are they an aggregator or are they a lender?", why were banks even allowed to own aggregators in the first place? isn't that contributing to conflicts of interests??
  • Independent Broker | 06 Jun 2014, 05:16 PM Agree 0
    Interesting to see this article , I was present and can certainly say there was a lot more discussed that should have been in this article. A pity the bank owned aggregators were not present to discuss some pressing issues for brokers .... Media will always continue to widen the divide and hype a non issue to generate some advertising.
  • SuperBoy | 20 Apr 2016, 11:13 PM Agree 0
    Is it okay to work for a bank as well as work for a mortgage broking firm?
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