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'Widespread misconduct' accusations untrue: MFAA

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Australian Broker | 28 Jan 2014, 08:26 AM Agree 0
​The MFAA has told an inquiry into ASIC’s performance there is no evidence assertions of “systematic falsifications of details in loan applications” from brokers are true.
  • Keith of the west | 28 Jan 2014, 09:05 AM Agree 0
    Why don't the Banks disclose the number of employees that are sacked for misconduct in respect to dealing with customers affairs? The figures will be staggering but never reported as Banks have financial muscle to deal and settle such matters quickly and quietly without intervention from ASIC
  • David Tansek | 28 Jan 2014, 09:57 AM Agree 0
    As I can not do loans for some of Arab community, because they are on Centerlink and work for cash - they are going through CBA and Westpac branches like a "hot cakes".
    How is that for equality with brokers, or NCP?
  • Melb broker | 28 Jan 2014, 10:33 AM Agree 0
    David Tansek, it has been happening for years and everyone turns a blind eye to it. You can add BOQ to the list. Some of the clients I have turned away, who then have been able to secure a loan from these lenders is absolutely disgusting!
  • Denise Brailey BFCSA (Inc) | 28 Jan 2014, 10:56 AM Agree 0
    The misconduct is with the Banks and Non Bank Lenders - altering information after Brokers fax their documents in as directed. Our files are full of these. I noticed that MFAA has members who are Brokers and members who are Lenders and continually suggest no systemic issues. Sounds a conflict of interests to me. As brokers say "its been happening for years." Yes David, we have the documents to prove those Major Lender loans are imprudent indeed. Yet MFAA never mentions these activities. One bank suggested a $696 settlement for a $300k imprudent lend! Someone has to speak out surely. Only 3% of brokers are doing the wrong thing. We agree, yet 100% LAFs are tampered with internal to lenders, after submission.
  • VIC Broker | 28 Jan 2014, 12:04 PM Agree 0
    +1 confirmation of 'hot cakes' for the cases of Westpac, CBA and BoQ !
    Everyone in this industry knows this it's not a mystery at all - I wonder why ASIC does not see/speak of this at all !? Or should we call this a discriminate to us broker?
  • MC | 28 Jan 2014, 04:07 PM Agree 0
    Keith is on the money. ASIC simply needs to request information from the bank's internal auditing sections to confirm the nature & positions of employees dismissed (without disclosing names for privacy reasons). I know of a recent BOQ branch manager that rec'd the DCM & they advised me verbally that there had been some investigations completed into their loan files whilst they were on leave.I believe they now work for another major lender & thats not the first time I've seen that. However when you live in a society where it's acceptable to 'minimize' tax what can you expect!!!!!!
  • Broker | 28 Jan 2014, 06:08 PM Agree 0
    I also know of many a Westpac loan that has been approved and settled at 80% LVR with only fanciful employment letters provided for PAYG income evidence, and Westpac never ever bothered actually confirming that the actual employment actually existed. Irresponsible lending , but nobody is responsible!!...
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