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Non-bank sector now 'on its knees'

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Australian Broker | 09 Jun 2011, 07:00 AM Agree 0
Non-bank market share has fallen to its lowest level since their entrance into the mortgage market, according to ABS housing finance figures
  • Jim Santo | 09 Jun 2011, 11:41 AM Agree 0
    This is great news. The days of 1.4% Upfront - Huge defs and derfs are now about to be consigned to history.

    I note the mortgage managers are starting to retrench staff again. This is a good thing for the industry.
  • oldBroker | 09 Jun 2011, 12:03 PM Agree 0
    The non-banks need to be innovative. They need to provide a commission-free product 30-40 points below the major banks so brokers can charge a fee-for-service and the client still wins.
  • Justin D | 09 Jun 2011, 12:03 PM Agree 0
    Time for an early election to be forced on our government.
    Our government seems to be extreemly supportive of new elections being held in the middle eastern countries when the citizens disagree with how the country is being run, so if our goverment is so confident that they are doing everything correct, then call the early election and let the people choose.
  • Jon Don | 09 Jun 2011, 12:08 PM Agree 0
    What garbage. The crap has left the industry and the remaining managers are thriving.
  • Whistleblower | 09 Jun 2011, 12:19 PM Agree 0
    Contrary to the narrow opinion above, this looming loss of non-bank lending from the Australian mortgage lending landscape is and will be a significant loss of diversity.

    DEFS are simply a function of the costs associated with setting up a non-bank home-loan, and in point-of-fact have far more relevance and transparency than fixed-interest mortgage products than that of our four major banking groups.

    As our Federal Government charges about this nation rebuilding the World according to their own views and interests; it constantly infuriates me how this debate and its narrative is dumbed down.

    Real competition doesn't exist in this industry, and for it to exist mediums such as this had better come to terms with the metrics of 'competition' so that the real story of how this industry is already doomed because the big Four are working with Government in order to steer legislation in an effort to control the the whole industry.

    The reason Government won't engage with non-bank lenders, the MFAA/FBAA, RESIMAC and 'other' securitisation vehicles is because the whole narrative has been hijacked by banking lobby groups in Canberra.

    The real truth is this: Our Federal Government believes:

    1. Banking groups better serve our economy

    2. Anyone else is a rogue

    3. They know best.

    Like the Carbon tax (another steering instrument) the legislation about to dawn is simply one tranche within a set of measures to stregthen the Big 4 banking groups, because Julia, Wayne and the un-elected President of Australia (Bill Shorten) deem that you, this blog and the industry it serves is just a group of dullards akin to used-car salesmen.

    They just want this industry GONE!

  • positivebroker | 09 Jun 2011, 12:48 PM Agree 0
    Its hard to below how dumb some of these comments are. Jim Santo, if you think mortgage managers should be gone, perhaps you could explain where the competetion will ever come from. Remember Aussie & Wizard? they started life as mortgage managers. And, no I don't work for a mortgage manager, I simply care about building a diverse industry to drive competetion.
  • Rebuttal From Jim Santo | 09 Jun 2011, 03:03 PM Agree 0
    How can the mangers be thriving - they write no business lets hear some examples National Finance Club are once again retrenching staff i.e NSW.
  • King Wally | 10 Jun 2011, 10:52 AM Agree 0
    Further to Jim Santo Claus, it should be noted that without competition and innovation brokers will become as important to the major banks as Bankcard. Your kids could well be looking at you in a broker museum! Be careful what you wish for
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