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Brokers tell ACCC: 'Get rid of mandatory MFAA memberships'

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Australian Broker | 20 Jan 2012, 06:00 AM Agree 0
Brokers have sounded off on an ACCC review into compulsory MFAA membership, expressing their anger with third-line forcing notifications
  • Barry Sims | 20 Jan 2012, 10:24 AM Agree 0
    The MFAA is totally and completely incompetant
    I am a credit representative with PLAN who provide all of the necessary support I need for full compliance
  • TB0NES | 20 Jan 2012, 11:12 AM Agree 0
    I'm a full Credit Licence holder and have appropriate support from my Aggregator (AFG) so i don't see the need for MFAA/FBAA membership, not that i've ever seen a need for it...
  • DB VIC | 20 Jan 2012, 11:27 AM Agree 0
    The MFAA have provided little value to industry members, other than line their own coffers with the money they have received from the lenders that sponsor them and their events. I cannot see how the MFAA actually play any part in the future of this industry, given ASIC's role. As a broker, i have paid my fee to the MFAA annually, i have nominated myself 3 times for council represntation. I never hear from or see the MFAA reps, and i am trying to figure out what value they have provided. In 10 years of Mortgage and Finance broking, i have yet to have a client who has asked about the MFAA, their involvement, requirements or benefit and it makes no sense to pay fees to a body that cannot even stand up as a voice to the brokers, when we have seen reduction in commissions, higher costs of doing business etc. MFAA wake up to yourself - you have been made redundant by ASIC and their involvment (not that you were ever of any value) and ASIC should stand up and do the right thing by the broking community. Remove the mandatory requirements of MFAA membership. Maybe then the MFAA will realise that to charge a fee, you need to offer value, something new, different, supportive or the like, not charge brokers a membership fee, so that you can promote lenders at your annual conferences. Wake up MFAA - your days are numbered.
  • Virendra Anand | 20 Jan 2012, 11:31 AM Agree 0
    I am also a sole operator, with MFAA membership. I have my own Licence, I definately feel the memership of MFAA had brought benefits to me.
    I have felt more confident with MFAA guidance on Licensing Issues and Guidelines.
    During the entire phase a regular input by MFAA was really helpful.
    I feel a membership of industry body brings a consistency in Services from members.
    I would certainly vote for a membership benefits we get.
  • Positive Broker | 20 Jan 2012, 11:41 AM Agree 0
    I tend to believe there are benefits to being a member of a strong industry body and this should be MFAA, BUT it is now up to the MFAA to ADD VALUE and make the annual fee worthwhile.
  • PeterT | 20 Jan 2012, 11:49 AM Agree 0
    The MFAA simply doesn't add value to the broker proposition. As the article mentioned, NCCP support comes through the aggregators or other third parties and MFAA training is reasonably costly when compared to other third parties.
    The MFAA announced years ago that it was embarking on and advertising campain of consumer awareness. This has been totally ineffectual. NCCP and government lobying has only had partical success and the MFAA has been totally useless when it comes to standing up for brokers with lenders.
    To impress me the MFAA needs to lobby for lenders to be under the same educational and administrative restrictions as brokers via NCCP, and ditch lenders from its membership base completely. The MFAA needs to truely represent broker interests.
  • Country Broker | 20 Jan 2012, 03:45 PM Agree 0
    i have a fullcredit licence and my company is an MFAA member ,We have had great benefitout of our MFAA membership since the NCCP process commenced , We would have found it difficult to become licenced with out the brilliant templates they provided, we used their templates and were and are still able to be compliant. Difficult to people understand how people do not see a benefit. Spend time in the web site at their PD days ( very good) and use their benefits programme . perhaps soem of the above people are no accessing the website and benefits enough.
    That being said i find it very difficult to accept that membership ids mandatory , I WANT TO BE A MEMBER , not be forced to be a member. This industry has prospered and survived in some part because of the lobbying by the MFAA , for goodness sake give them some support.
  • Tony | 20 Jan 2012, 04:17 PM Agree 0
    The main problem with MFAA is the massive conflicts of interest that are allowed to exist. 1. They cannot really represent brokers and banks at the same time. 2. Cannot be allowed to set education standards and then sell education products to meet those standards. Every time I meet the standard they then force me to a higher standard. Cert 3, Cert IV, Diploma and soon Degree or Graduate Diploma. They change the rules and then make profit from the change.
    ASIC has already decided that compulsory membership was not necessary as they chose not to include it in the NCCP. The MFAA & FBAA were necessary in a "self-regulated" environment but "self-regulation" has failed and ASIC has stepped in. To keep the defunct bodies of the failed older system is just an expensive duplication of process. The customer does not care what organisations I join as long as I am licensed to trade and provide a high standard of service.
  • palms | 20 Jan 2012, 04:17 PM Agree 0
    Not having to spend more time (60 hours a year in travel and attandance) to get 30 unnecessary points when I have been doing lending since 1972 will be very welcome. Thank you Asic (in advance)
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