One Big Switch success rate hits 1,600

by BN05 Jan 2012

 

In the six months since One Big Switch launched its campaign to help borrowers lower their mortgages, 1,600 homeowners have secured a better deal.

One of the organisation’s co-founders, Lachlan Harris, told ABC News that many people who signed up months ago are still in the process of changing their mortgage.

The report follows a previous dispute regarding the success of the campaign. In November, One Big Switch denied media reports that only 1,000 of the 40,000 borrowers who signed up for the campaign had seen results from their involvement.

At the time, co-founder Paul Hunyor told attendees at a LIXI conference, “I’ve learned to believe nothing I read in the financial press, so no, those numbers are not quite right.”

Hunyor added that, “we’ve had over a couple of thousand introductions to lenders and their products through the program.”

One Big Switch faced widespread criticism from the broking industry. AFG’s general manager of sales and operations Mark Hewitt said the problem is that the campaign had failed to attract major lenders to its panel.

“The proposition would be laughable if they weren’t putting people’s property on the line,” he said.

Hewitt also countered statements made by representatives of the organization who reportedly called financial advice in Australia “crap”. According to Hewitt it was an unfair comment particularly since the group is not prepared to provide financial advice to its members.

One Big Switch is also setting its sights on electricity companies. Harris told ABC News that the group will be setting up more mortgage and electricity offers this year.

COMMENTS

  • by Positive Broker 5/01/2012 1:55:15 PM

    I would love to see the proof of these claims. My understanding is a few mortgage managers got on board but that's about it.

  • by PeterT 9/01/2012 11:19:45 AM

    1,600 customers out of 40,000 enquiries. I'd hardly call 4% a successful conversion ratio.