Brokers are being called on to communicate directly to their customers at a time when industry transparency is being criticised.
Executive Director of the Finance Brokers Association of Australia (FBAA), Peter White, says brokers are concerned about the effect public comments will have on their businesses.
White says that brokers, who have been in the spotlight with the Royal Commission, have an important part to play in correcting much of the ‘misinformation’ being reported about the industry. He said that while the FBAA was advocating on a national level in the media and to the government and regulators, brokers could be communicating directly to customers.
Much of the scrutiny around brokers has been the commission structure and level of transparency passed on to borrowers.
White added: “Now is the time to change the conversation and focus on consumer outcomes, by reinforcing the benefits of brokers to our customers through words and actions. Nothing customers read or hear in the media will influence them away from their finance broker if they are entirely satisfied with the level of product and service they are receiving.
“Brokers should be regularly communicating with their customers through e-newsletters and social media, providing the sorts of tips, advice and information that people will never get from a bank.”
Earlier this week Westpac boss Brian Hartzer suggested brokers could start charging customers directly to make their payments more clear.
White said: “Banks have tried to divert the attention to brokers, but we can be proud of the service we offer and with the right approach by brokers across Australia, we can rally our customers to stand beside the industry and advocate for us across their social circles.”