St. George denies channel conflict accusation

by Adam Smith13 Mar 2013
"Coming from this environment I know how these guys think, and with this new structure there's no way in hell a branch guy is going to let a deal go when he sees the broker has them on a 0.05% discount and he can give them a 0.07% discount," he said. "They've got their buckets to fill, which are way beyond their task. They have to fight to get the gates open for business, and they have to do this kind of stuff.

If this call happens any time before settlement, there's nothing to hold the branch guy off from smashing the broker out of the deal. To me it's a no-brainer, and I can see that this is not going to end well," Saldanha added.

But Kirkpatrick said that branch staff contacting clients would not be home loan officers, and would only address products and services not already covered by the broker. He stressed that any strategy involving stripping away brokers' customers would be counter-productive, and end up hurting the bank in the long run.

“To be honest, it would be foolish to cut our nose off on this because brokers bring in around 50% of bank customers. Why would we cut that off?”

 


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COMMENTS

  • by Country Broker 13/03/2013 9:23:41 AM

    hands up all brokers who provided the feed back the branch was to contact the cleint on approval???

  • by Northern Broker 13/03/2013 9:38:42 AM

    Not me!! Had I been contacted, I would have been against it. In theory it's a great idea. In practice it has the potential for problems. ANZ's approach is the best I have seen, and the feedback from clients confirms that.

  • by Matthew 13/03/2013 9:39:12 AM

    "But Kirkpatrick said that branch staff contacting clients would not be home loan officers, and would only address products and services not already covered by the broker."

    So the person from the bank branch that calls the customer will actually have no training in home loans, yet will be welcoming the new customer due to their new home loan approval with the bank?

    That is a classic.

    Welcome to your home loan approval with us today, I will not provide you with any help or information in relation to your actual homeloan as im not a homeloan officer, however would you like a credit card, home insurance, a personal loan or anything else before I let you go?

    If the issues as stated surrounds the implementation of direct debits and so forth, then perhaps get it right the first time by looking at your pre-settlement paperwork and revising where needed to allow for these issues to be adressed correctly might be a better idea.