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Final report "a rude awakening for brokers"

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Australian Broker | 11 Feb 2019, 12:00 AM Agree 0
There could be an exodus of brokers from the industry, warns one SME advocate
  • Legal1 | 11 Feb 2019, 09:21 AM Agree 0
    Would you care to elaborate on these comments & accusations on your website http://thebankdoctor.org/fall-royal-commission-will-affect/ Brokers.
    "There have been plenty of broker horror stories from the RC" "For the very small number of brokers who have and continue to do the wrong thing, the RC is a timely reminder that unless they clean up their act, sooner or later they will be exposed."
  • Anthony | 11 Feb 2019, 11:24 AM Agree 0
    All good and well to say clients should pay, but for those customers looking to get info at the very start of the process, what was once a free service would mean they pay to find out what they need to do to get into position. Additionally, Ken Hayne says add the broker fee to the loan. 2 problems, this results in a client paying interest for 30 years meaning they pay 70% more in interest (to the bank of course), and then for those with the minimum deposit, they cannot add the fee to the loan.
    What started of as a banking commission quickly turned into a broking commission thanks to the brilliant deflection from certain lenders. A broking service will be a service available to those with wealth or equity in property. Only the banks with branches will be winners from all of this. Not the customers, not the non bank lenders....... only the bigger banks.
    Just look at share prices. Compare brokers shares like M.Choice against the big lenders. Bank shares are increasing while broker shares are decreasing. That tells you want investors think. Banks will now make more money, where brokers will make less money. hmmm does that not tell us something.
  • A Broker | 11 Feb 2019, 12:47 PM Agree 0
    Unfortunately people have very short memory. If it wasn't for the Brokers, looking after the customers and moving them away from unsuitable loans, we would be paying Exit Fees. Remember those fees??

  • A.Baker | 11 Feb 2019, 03:22 PM Agree 0
    The Commission points the finger at brokers and the way we are paid.

    They claim we don't deserve trail because we don't provide ongoing customer service.

    So if that's the case then shouldn't the banks not be allowed to charge interest or fee's etc, as they NEVER have their customers best interests at the front.

    How many Banks have EVER contacted their current clients and said 'hey Mr Smith, we have this really great discounted rate on offer, How would you like to reduce your repayments and save a significant amount of money.

    This is the service we offer ongoing to our clients. This is the service they are claiming we don't provide yet do nothing about the banks not providing this EVER.
  • Fed Up | 11 Feb 2019, 04:02 PM Agree 0
    First of all the clear insinuation that brokers in general, are unscrupulous is extremely biased. The "rude awakening" will come to clowns like this when brokers are gone and he has no business. Secondly what a tool this guy is......how can he have NO IDEA that brokers are OBLIGATED to disclose commissions AND they are in-fact quoted on every mortgage contract? Whats'more he is purposefully making false statements and accusations regarding where our commissions come from! I smell an agenda here.....wonder what his pay off is and by whom????
  • J Dredd | 11 Feb 2019, 06:02 PM Agree 0
    Reality check awaits those that resist change! 😀

    https://www.theaustralian.com.au/business/opinion/alan-kohler/why-wed-be-better-off-without-mortgage-brokers/news-story/0df3bb939172d0d8ba83afa14ac531e6
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