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FBAA criticises educational 'impost'

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Australian Broker | 22 Jun 2011, 05:00 AM Agree 0
FBAA president Peter White has stated that industry associations should not require higher educational standards than those dictated by ASIC
  • Julie | 22 Jun 2011, 12:00 PM Agree 0
    About time someone made some sense.
  • John Black | 22 Jun 2011, 12:37 PM Agree 0
    There's nothing beats experience except experience plus a degree.
  • Peter | 22 Jun 2011, 01:17 PM Agree 0
    The Diploma that the MFAA requires for membership purposes as of 1/7/2012, consists of two parts. One, Commercial Loan knowledge and application and secondly, how to write business plans. I have 14 years experience in Broking, never wanted to nor will I ever do Commercial lending, so there is no point in me doing the Diploma. I've been writing business plans for years. I don't need another study program to show me to how! So onto the Fast Track option. Just do a couple of studies and submissions. One for the client and one as an application. Not an isse. But it doesn't get me the same membership level or title as someone with the Diploma. My title seems "lower" and thus discriminates against me when I probably could run rings around someone with a Diploma who has little experience. Maybe I should just quit the MFAA? Can't do that as various lenders insist I remain a member, other wise will not accept me as a loan writer! Wonderful!
  • Peter White - FBAA | 22 Jun 2011, 02:11 PM Agree 0
    Hi Peter, I am unaware of any lender that forces one Assocation over the other and if they are they shouldn't be - FBAA is not aware of any but if there is please let me know as I am happy to ask why. It's your right of choice !
  • Impressed with Peter White | 22 Jun 2011, 02:54 PM Agree 0
    Two things have impressed me here about Peter White. Firstly his comments show common sense and secondly he actually monitors what is obviously a useful and often used forum by and for brokers. Well done Peter. Keep up the good work.
  • Clarifying the Diploma criteria | 22 Jun 2011, 03:59 PM Agree 0
    The Diploma is a national standard, not an MFAA interpretation. The measurement for competency of this specific diploma includes the cert IV qualification plus additional units which cover basically two modules.
    The first is identifying, developing and implementing complex loans for the customer and the second is identifying, mitigating and managing risk.
    With regard to the first "module" complex loan scenarios may include commercial loans but this is not an exclusive interpretation. Other complex scenarios are defined by the guidelines to include flexibility (customer requirements and objectives) and liquidity (financial capacity). There are also other inclusions that may be relevant to some brokers. Any of these criteria may be assessed for competency. Whoever is advising otherwise is misleading you to meet their own interpretation or to meet their own objectives and by doing so actually dilute the value of the diploma to meet only one stream of contextualisation. Any Registered Training Organisation licensed to provide this qualification is entitled to national recognition of the certification under mutual recognition legislation.
  • Damien | 22 Jun 2011, 04:10 PM Agree 0
    I recently dumped the MFAA (simply because they do not deserve my money) and have just stuck with the FBAA and no lender has an issue with this, nor should they. At least the FBAA says all the right things on behalf of brokers, whereas the MFAA, well I struggle to see what they stand for, other than nodding and agreeing to the major banks wishes. In the past when brokers have expected some real voice and support they have just gone missing in action.

    I would be curious too see just how many MFAA members have switched across to the FBAA, I hope the numbers are huge and long may it continue!
  • Sandra | 22 Jun 2011, 04:23 PM Agree 0
    I think it great that the FBAA aren't imposing requirements other than those required by ASIC. I think it is now up to the lenders to do the same. It is not a requirement of ASIC to belong to an association.
  • Darryl | 22 Jun 2011, 05:29 PM Agree 0
    Peter is fast becoming a lone voice in an industry that has become obsessed with nonsensical rules, regulations and a paranoia about educatonal standards. The MFAA's fixation on raising the educational bar so quickly shows how out of touch it is with it's grass-roots membership, but no doubt their decision to insist on the Diploma wihin 12 months has been inspired by lenders who do not, and will not, insist on the same standards for their own lending workforce. If the MFAA is really genuine in its concern to raise educational standards, it will insist on it from ALL its members, including all lending employees of banks and lenders. But of course, it won't. It's time MFAA members started to vote with their feet and chequebooks and and join the voice of reason expressed by the FBAA.
  • sidbroker | 22 Jun 2011, 07:47 PM Agree 0
    The mfaa needs to get things into perspective. They are here to serve us the BROKERS and not feed their own ego`s and feather their own nests. The best way to show displeasure with any orginisation is to resign and go somewhere esle. If you choose to stay with the mfaa then you deserve what you get.
  • Tammy Kwok | 27 Jun 2011, 04:47 PM Agree 0
    In my honest opinion, I fail to see why brokers are required to have a uni degree. In the lending industry, experience is a critical element for competence. A university degree does not necessarily equip a broker with experience. Moreover, others employees in the field, such as bank managers, are not required to have an university degree in order to be qualified for their job. The certificate IV and the diploma are suitable education levels for brokers.
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