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AFR report on brokers a 'serious allegation': MFAA

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Australian Broker | 26 Feb 2016, 08:00 AM Agree 0
The MFAA has branded a report in the Australian Financial Review – which questions the ethics of mortgage brokers and likened some to a Ponzi scheme – as a “serious allegation”
  • | 26 Feb 2016, 09:33 AM Agree 0
    Are the reporters suggesting that the broker would also doctor payslips, group certificates, & bank statements that would confirm what was written on the application to what a credit team will confirm? More rubbish journalism, name names if they feel the allegations are warranted.
  • Denise Brailey, BFCSA (Inc) | 26 Feb 2016, 10:35 AM Agree 0
    Tepper is utterly wrong. I am a criminologist specialising in white collar crime. Mr Tepper rang me 26 Jan prior to the story, as he was a friend of the reporter. This story is not about the brokers. Tepper admits he has bet short. ASIC and I do not always agree on commissioner level but on this one we agree. There may be 3% rogues in this industry but 97% are doing the right thing. In any case you would never get 97% of industry to commit a criminal act. ASIC agree. Its a preposterous notion. I have spoken to 40 Brokers in Australia and NZ, over time, and told Tepper what the outcome was: Its the Banks doing the wrong thing, using an amortisation calculator. ie a projected income without borrower knowing. Only three pages of the LAF given for signing, Rest of forms added later. Borrower has no idea. I doubt 20 brokers in Blacktown would say such a thing, but I certainly do not believe (from experience) every broker in that district taught people to lie on the forms. Brokers have stated if we did that, the Aussie customer would see us as cheats. People with assets are basically honest. They would be horrified at such a suggestion. Blacktown Police should be on the alert if that is true. I expect there will be a Royal Commission into the banks and I will be a key witness with bundles of case evidence of how the brokers were duped by their employers - the banks. Lenders are busy blaming the borrowers and the brokers, yet they were in fact the engineers, manufacturers and architects of why this story is gaining momentum. They developed the target of ARIPs Asset Rich and Income Poor in a grab for homes via equity loans that are interest only. 70% of Mortgages are 30 year INTEREST ONLY. These loans implode within five years. ASIC agree. Bankers have created a blatant bank grab for elderly people's assets - those persons who had no debt four years ago and owned their own home. Yes the bubble is on the way and the property market will burst. The experts simply do not know when. The consensus is within two years. Then the truth can be told.

  • Broker | 26 Feb 2016, 10:43 AM Agree 0
    This "story" really just demonstrates the standard of trash journalism in Australia these days.
  • veteran | 26 Feb 2016, 04:37 PM Agree 0
    What utter ignorance. Love to have been interviewed would have sniffed it out a mile away.
  • Another Broker | 26 Feb 2016, 07:01 PM Agree 0
    Hey Anne Hyland, why don't use this source material as the genesis for a potential story which might include exposing, naming & shaming this apparent hotbed of rogues & fraudsters.

    BTW...did you hear the one about the deal that had the same property valued 20 times in the same year & the Ponzi scheme with only one investor.....
  • Spencer Murray | 29 Feb 2016, 02:23 PM Agree 0
    The 60 minutes report was total Grubby journalism . Yet on Sunday nights 29/2/2016 Sixty BORING Minutes program stated that the CBA was Willing to negotiate with the parties whose stories were told the previous week. How Pathetic, Why didn't they tell the story of CBA who this week SMASHED down Suzi Burge 's home door in Tasmanian with the help of the local Sherif f & Police Suzi loan application forms were altered by CBA bank staff yet the Pollies & Police fail to do anything about this criminal activity .
  • | 18 Jul 2017, 05:30 PM Agree 0
    Thanks Spencer, I have only just come across this!

    I think we are making headway.....

    Justice is coming

    Kind Regards

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