Mortgage Choice broker under fire

by Caroline Dann16 Oct 2012

A Mortgage Choice broker is under fire for lumping clients with loans they "didn't want," according to a report in The Sydney Morning Herald.

A Sydney couple have claimed the broker added their names to additional two loans as part of a joint property investment between themselves and another couple.
The couple initially requested a loan for only their share of the apartment.
According to the report, the broker 'mistakenly' put their names on the loan for the other couple, as well as on another, entirely separate, loan taken out by the other couple for a different apartment.
The case has been taken to the Financial Ombudsman Service and the Credit Ombudsman Service.
The couple did admit they received the documentation but failed to read it properly.
When contacted by Australian Broker Online for comment, a Mortgage Choice spokesperson said they were co-operating with the inquiry but stood by their broker, whom they said had over 10 years' experience.
"What I can say is that in addition to our own investigation, we are currently providing our full cooperation to the Credit Ombudsman as it looks into this matter. 
"We have confidence that they will reach a fair conclusion based on all the information available and await their response," they said.
"We stand by our comment that the broker in question has, over the past 10 years, conducted themselves with the high standard of integrity that we expect of all our mortgage brokers. 
"We have never encountered any issues that would lead us to question their integrity."