Amid widespread talk of economic recovery, in an unexpected turn RAMS Home Loans has taken the decision today to close its broker distribution channel.
Broker news understands that all RAMS's aggregator partners were informed of the decision via email "in the last half-hour".
RAMS said that the decision was made in order to align its time and resources to activities that added the most value to its customers.
Having different pricing and policies across the two channels was causing conflict and confusion between the two, it said.
The move would help to optimize the size and structure of the company in order to "protect the sustainability of the business and the brand".
"Following a review of the options available to manage lending growth it has become clear that pursuing a dual distribution model in the current environment is not the best use of our resources," said RAMS chief executive Melos Sulicich.
He added that the RAMS staff, leadership team and the Westpac Group were "fully committed" to continuing to grow and develop the RAMS business.
The change is effective from the close of business on Friday 26, February.
New applications between now and then will be accepted and all pipeline deals will go through the normal course of business.