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ACCC upholds mandatory MFAA membership

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Australian Broker | 11 May 2012, 02:00 AM Agree 0
The ACCC has affirmed controversial third-line forcing notifications requiring brokers to be members of the MFAA
  • Peter | 11 May 2012, 02:22 PM Agree 0
    What a load of rubbish! The ACCC have been manipulated to support MFAA. I had a trainer of a Cert IV course tell our class that you had join MFAA as some lenders won't accept FBAA. She said that CBA was one of thee lenders. Our aggregator said this was not true as the accreditation forms to CBA state FBAA as acceptable. Our aggregator questioned if the trainer was running on commission to say this. Another example of MFAAs third line Forcing????

    If MFAA is body that regulates the industry, ie brokers. Then there damn well should be an industry to regulate MFAA.
  • Broker | 11 May 2012, 02:24 PM Agree 0
    I read this as meaning MFAA - OR - FBAA.
    Please tell me that's true!
  • Bruce | 11 May 2012, 02:30 PM Agree 0
    This relates to a couiple of retail groups. The rest of us select an Industry Body based on their services, activity and contribution to ur business. I certainly could not have afforded the lobbying undertaken by the MFAA on my own and am happy to be part of that community.
  • Wilko | 11 May 2012, 02:43 PM Agree 0
    Had a look at the resons published on the ACCC web site.

    Seems to me that based on the comparison with ASIC the MFAA have a much better handle on things.

    Either way, another storm in a tea cup. Lets get back to real issues like competition and reducing the big fours grip on market share.
  • Incognito | 11 May 2012, 02:44 PM Agree 0
    No problem. I'm happy to be an MFAA member and I'm glad they have standards.
  • Roberta | 11 May 2012, 02:47 PM Agree 0
    "But ASIC supported the notifications, saying in a submission to the ACCC that mandatory MFAA membership carried with it potential consumer benefits."
    In over 12 years of Broking, writing over 2,000 home loans, I have not yet once been asked if I am a member of the MFAA (MIAA) or for any educational qualifications C4's or Diploma's (which I have). I do however get asked (told) every 12 months, to hand over $400 - $500 to be a member of something of very little value to me or my customers. I even get asked to hand over hundreds of dollars to attend conferences which appear to be junkets and fund raisers for the MFAA. I really wonder if the sponsors of these events truly get value for money or do they do it because they feel have to as well. MFAA, listen to what we are saying, get better at what you should be doing and 2/3rds of brokers won't complain.
  • Peter | 11 May 2012, 02:49 PM Agree 0
    @ Broker - No it is referring to just MFAA. That is the whole point of this article. Aussie Home Loans and Mortgage Choice make is mandatory for their brokers to be accredited with MFAA only and cannot work under the franchise if they want to join FBAA. This gives their brokers no choice.

    In mortgage broking it is illegal to third-line forcing but the ACCC are saying that it is ok for MFAA. Biggest hypocrites ever.
  • Bruce | 11 May 2012, 02:56 PM Agree 0
    No Peter, they are saying it is for Aussie and Mortgage Choice to 3rd Line force.
  • ozboy | 11 May 2012, 03:06 PM Agree 0
    Pretty hard to take the ACCC and their 3rd line forcing seriously. If the lender said to the person taking out a loan you have to take out our insurance to protect yourself then according to the ACCC this would be ok as it would offer the consumer some protection! The floodgates will swing open from here.
  • Liz | 11 May 2012, 03:08 PM Agree 0
    Should we broker follow the standard set by ASIC or MFAA ? Double standard is too confusing. If lawyers are not compulsory to be the member of the Law Society, it is unfair to make it compulsory for brokers to be the member of MFAA or FBAA, right ?
  • Broker | 11 May 2012, 03:16 PM Agree 0
    Well what an absolute joke, how did the ACCC arrive at the conclusion that the MFAA is acceptable and therefore compulsory (and third line forced- which is highly illegal . yes?) and the FBAA is not?

    Who gave the ACCC the right to make my choice on my behalf, and for them to decide that the FBAA does not satisfy all industry requirements?

    Our Aggregator does not force this upon us and I hope they fight like hell against this ridiculous decision, I am expecting that the FBAA will be having it’s say too

    But having said this, we Brokers and the general public know that the ACCC is a farce of an organisation that achieves very little other than wasting taxpayers $$ and feeding consumers dribble, and this is just another example of that.

    The MFAA must be laughing and clicking their glasses as we speak.

    Shame, ACCC, shame.
  • alex | 11 May 2012, 03:17 PM Agree 0
    Roberta im with you i have been a mortgage broker for 7 year and on one has aks me if im a member anything. I think the FBAA or MFAA do anything for brokers i pay my money each year for what
  • Wilko | 11 May 2012, 03:50 PM Agree 0
    A lot of my customers ask if I have the appropriate qualifications because I give them my business card with it on it.

    If I cannot do the research on a plumber or a carpenter and know they are qualified then why would I give them my business? Same should go for us.

    Tired of this rubbish excuse that because we have experience we do not need representation or education. How is it that because I turn up on someones doorstep I don't have to prove who I am or what I do or how I maintain my expertise etc?

    Like I said, storm in a tea cup and it accounts for maybe just over 1500 brokers. Moving on......
  • FinBroker1 | 11 May 2012, 03:57 PM Agree 0
    Great I can force my clients to take Home Insurance with the insurer of my choice when they take out a Home Loan.....


    Damn idiots!

    MFAA = 12 Directors who suck Fees

    ACCC = Should change it's name to the ARCCC R=Reduce...

    What a bunch of absolute morons!
  • Broker | 11 May 2012, 04:13 PM Agree 0
    Also, I recently complted my Diploma at TMA Australia , is this training organisation even recognised by the MFAA , or do I have do do it again?, if so that would be an ever bigger joke that the MFAA itself!!
  • PC | 11 May 2012, 04:17 PM Agree 0
    Sad that's all I can say, when the governing regulatory body bends the rules to suit. I'm with Roberta and Alex, 15 years broking and never once been asked if I am a member of anything, in fact last week I got my first call from a prospect who got my name off the MFAA site, and that's after having been a member since MFAA was the MIAA. If spent my advertising Dollar for that sort of return I would be completely broke by now.
  • Sally | 11 May 2012, 05:15 PM Agree 0
    Why didn't you all have your say when you had a chance. Once again, you wait until its too late.
    ASIC and ACCC don't read your comments on this page, you should have put in a submission with your reasons why you don't agree with them.
  • Michael | 11 May 2012, 05:27 PM Agree 0
    Interesting. If ASIC doesn't believe the FBAA has substance, why would any of it's members. No real surprise i guess however big nail in the FBAA's coffin I reckon.
  • Choice Broker | 11 May 2012, 05:30 PM Agree 0
    So with the same logic, we should have the blessing of the ACCC if we tell customers that they have to take out Insurance with every loan and it must be with us ?
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