Victoria Teachers Mutual Bank’s strategic launch into broker channel

by 08 Jul 2016
Victoria Teachers Mutual Bank (VTMB) is adopting a ‘slowly, slowly’ approach to its entry into the broker market. It’s a carefully considered strategy driven by a commitment to facilitate the best possible broker and borrower experience.

“We want to avoid appearing to overpromise, so we’re giving ourselves time to ensure our processes, systems and solutions are correctly established,” says VTMB’s executive manager sales and service, Justine Ward.

“We’re intent on paving the way for the delivery of best practice for brokers,” she declares. 

Supporting VTMB’s launch into the third-party channel is the industry’s leading technology solution for electronic lodgement, NextGen.Net’s ApplyOnline.

With 96% of brokers in the Australian market using ApplyOnline, Ward said implementation of the multifaceted electronic lodgement tool was a no-brainer. 

“ApplyOnline is the Australian standard for electronic lodgement because it is best in class. Brokers simply expect to use ApplyOnline,” says NextGen.Net sales executive Michelle Ewens, who has been steering VTMB through the set-up.

“Everyone, even new entrants to the market, knows that ApplyOnline provides lenders and brokers with efficiencies that are second to none.”

Aggregators advised Ward that NextGen.Net is the best electronic lodgement service on the market and one of the key entry points. “What more was there to know?” she exclaims.

“It’s great to help lenders like VTMB see how far-reaching ApplyOnline is, beyond simply providing electronic lodgement,” Ewens says.

“ApplyOnline delivers real drivers of quality at the point of sale, and provides tools for lenders to improve efficiencies in their loan process.

“Ensuring that quality of the loan submission is what ultimately drives the ability to achieve straight-through processing. In addition to lodgement, ApplyOnline equips VTMB with supporting document verification tools and back channel messaging, and we look forward to helping VTMB provide a superior broker service.”

VTMB launched quietly into the broker market in late 2015. Its ApplyOnline roll-out began this month. 
Ward remarks on what she says was “a remarkably easy process”.

“We found the NextGen.Net team to be incredibly responsive and supportive, and very willing to guide us on best practice in the industry, which was very helpful.
“It made the transition very smooth and seamless,” she says. 

VTMB has released a range of new products to correspond with its entry into the market.

As a mutual, VTMB puts customer experience as number one on its priority list. In December 2015 the bank launched a simplified product range which includes an Education Home Loan Package.

“We want to support people in the education sector to get their first home and we have credit policies to support that,” says Ward. 

“Our new products support first home buyers. We will lend up to 98% LVR for first home buyers in the education sector. In the Education Home Loan Package, depending on credit criteria and security, we will waive LMI up to 85%.

“We recognise how difficult it is for first home buyers to get into the market, and providing it’s responsible lending we want to help them achieve their dream,” she says. 
“Having ApplyOnline as part of our process will ensure we get the best turnaround time.”

VTMB’s growth aspirations have qualifications, says Ward.

“We’re not planning to grow purely for the sake of growth. Our aim is sustainable growth,” she stresses. 

For Ewens, another mutual supporting the broker market means “more healthy competition in the industry, more available products for brokers, and more choice for consumers”.

“VTMB’s entry to the broker market is a great move for everyone,” she says.
NextGen.Net is Australia's leading technology service provider to the lending industry. It delivers solutions including electronic lodgement, supporting documents and loan processing to a range of banks, non-bank lenders and brokers.

ApplyOnline is the leading electronic lodgement solution for third-party introducers to Australia's largest network of lenders, catering for all types of loans. 

ApplyOnline captures all the information needed to assess and process a loan application. It also provides point of sale document production, assessment and supporting document verification, and upload.