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New Diploma a gateway to fee-for-service

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Australian Broker | 14 Nov 2011, 05:00 AM Agree 0
Intellitrain has stated that its new Diploma program could help pave the way for fee-for-service
  • bradq | 14 Nov 2011, 09:32 AM Agree 0
    A fee for service really isnt a good idea... why do you guys keep spruiking it? lenders WILL reduce commissions if the industry as a whole, starts charging fees to clients. I for one will keep my services free to my clients...and my business will grow quicker than someone who charges fees.... I guarantee it!
  • Ozboy | 14 Nov 2011, 10:04 AM Agree 0
    Hi bradq, well each to their own and yes your business may grow quicker (depending on what you measure to prove this) but will it be more profitable? That's the big question. You can have 5000 clients to make x and someone else could make the same money with only 3000 clients, less stress, less staff, less drama but that doesn't mean their way is any better than yours just different.

    Lenders won't reduce commissions if a fee is charged people need to stop using this excuse to justify their side of the argument. Over the last 3 months we have seen more lenders come back to the broking market and we have seen some lenders (including the majors) actually put commissions up.
  • countrybroker | 14 Nov 2011, 10:35 AM Agree 0
    Hi Ozboy you are spot on . Fee for service has NOTHING to with commissionsand yes lenders are starting to recognise what a value brokers are. Will people please learn the NCCP rules and regulation , a broker can charge a fee NOW but must it must be FULLY disclosed. Paul Eldridge is right in this article , a lot of brokers could do with further training , but you may not need a revised diploma to achive that , just get in and get trained .
    Brad can keep his services free to the client that is his choice, it is about offering value to our clients. I will be normally offering a free service , but on a low dollar deal or a comlex commercial transaction may charge a fee.
  • bcoombs | 14 Nov 2011, 11:10 AM Agree 0
    I don't know why we continue to talk about fee for service without getting wholesale rates from banks. We should be offer far cheaper rates, with advice and charge a fee. Rather than selling the same product as they can get at a branch. The broker business was build on cheaper rates and lo-doc loans, something that the banks didn't offer.
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