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Are we on the cusp of a big four broker crackdown?

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Australian Broker | 21 Feb 2017, 08:25 AM Agree 0
With CBA moving away from broker channel lending, other major lenders may follow suit, one leading analyst has said
  • DC | 21 Feb 2017, 08:47 AM Agree 0
    Well I think we can all provide an example of advising a client that their circumstances aren't sufficient to borrow what they are seeking, only to then find out "I went in the branch and they've approved it". Bank branch staff are under pressure with their sales targets, so I guess they will push the envelope. I also remember over the years the number of bank staff held up as examples of "great sales staff" who have ended up being found out as breaking the rules. Oh well, I guess CBA has a $4B half-year profit to play with.
  • Broker | 21 Feb 2017, 11:30 AM Agree 0
    Couldn't care less - there are many other options that actually value the lender / broker relationship.
  • ed ridge | 22 Feb 2017, 09:38 AM Agree 0
    Don't worry they will come back when it suits them and brokers (as a general rule) will go back to them and the master slave relationship will continue until brokers learn to support those that support them.
  • JB | 22 Feb 2017, 10:22 AM Agree 0
    Whilst CBA demonstrates a tolerance for the broker channel and articulates a preference for its own proprietory retail outlets, other banks are doing the opposite. CBA piles on documentation requirements at the point of application that others don't require and branches are often unhelpful towards brokers. Demands for volume and re accreditation requirements are not in the spirit of broker independence and are ill considered in the broker space. Little wonder broker share of their recent business has trended downwards. This may play out over the next 12 months or more until they discover that their market share has softened at the expense of the others and then they will come running back with some genius policy from a new broker channel manager being paid a 7 figure salary. Seen it before.
    • SunnyCoastBroker | 23 Feb 2017, 09:49 AM Agree 0
      Summed up perfectly..
  • | 25 Feb 2017, 12:29 PM Agree 0
    Been broking 15 years , I probably written 5 CBA loans in that time and only one in the last 2 years.
    Don't think I'll miss them :-)
  • SEQ Broker | 27 Feb 2017, 10:41 AM Agree 0
    If CBA want to drop brokers, which is what they are saying by selecting some and not others based on volumes, where will they make up the 52% of lending that hits their books? Whom will they employ to meet these targets. Also, we have long memories us brokers (some of us). Could be a costly decision for them.
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