Even with Valentine's Day in the rearview mirror, talk of relationships — including the ones between brokers and lenders — is not over.
In fact, few relationships are as critical to Australia’s constantly shifting lending landscape as the one between brokers and lenders. The collaboration underpins every stage of the loan journey: from sourcing and assessing clients to gaining approvals, structuring deals, shaping investment strategies and ensuring settlements stay on track.
But it takes two to tango, and like any relationship, friction often exists. For the partnership to work, mutual respect and communication are non-negotiables. So is understanding and the willingness to compromise. When brokers and lenders genuinely click, the process runs smoother, the pressure eases, and the results speak for themselves.
In this two-part series, Australian Broker connected with mortgage professionals across the country to discuss the common pain points in the dynamic and for broker and lender thoughts on how to make the relationship work.
The responses have been edited for clarity and length.
Franchise owner and broker at Bellarine, Victoria-based Aussie Home Loans (pictured above)
"For me, the biggest challenge in the broker-lender relationship is the BDM turnover rate. When a BDM changes, you lose the rhythm you’ve built. It takes time to get to know someone new, how they communicate, how they like scenarios positioned and how they escalate deals internally. That familiarity and trust takes time to build. During that transition, things can feel slower because you’re rebuilding connection. Naturally, we gravitate toward the relationships that feel easy and established. That’s simply the reality of a relationship-based industry. Strong partnerships take time to build, and we are all balancing our own lives and families alongside our work.
"The lender–broker relationship works best when we remember it’s built on connection. When we invest in that relationship, outcomes improve. We get faster answers, smoother deals and better results for our clients. Brokers can strengthen relationships by submitting clean, well-positioned deals, listening to and valuing BDM advice, communicating early and honestly, learning from past scenarios and improving next time, and showing genuine appreciation, because it truly goes a long way.
For lenders, clear, proactive communication makes a huge difference. Being transparent about policy and credit decisions builds trust. Sharing updates and insights early helps brokers position deals correctly. Taking the time to understand brokers as business owners and as people with their own lives and families strengthens the partnership. Investing in connection matters. And as technology and AI streamline more of our processes, human connection becomes even more important. Emotional wellbeing, supported by others, drives growth."
Chief executive officer at non-bank lender Rate Money
"One of the biggest pain points for brokers is not being able to get a hold of the right person when a scenario is needed, or to clarify a policy. This is extremely frustrating for brokers when they have a customer waiting, and the broker is giving them a timeline when they will get back to them and they miss that deadline. The customer automatically thinks it is the broker's fault when really the broker didn't get the right service themselves.
"But also, in the same breath, lenders giving the right answers is important. I so often hear that lenders say 'yes.' But when a deal is lodged, it's a 'no.' This is where asking the right questions will ensure that the broker gets the right answer. A quick 'no,' is okay. A long drawn-out 'no' is the most frustrating and painful experience for the broker and the customer. There are software and tech providers who help alleviate the pain. But sometimes brokers need the person with the correct experience to talk."
Broker distribution executive at National Australia Bank (NAB)
"Our relationship with brokers is central to delivering great outcomes for customers. Brokers have been clear about what matters: quicker decisions, simpler processes, consistent support and solutions that help them navigate increasingly complex scenarios. As with any great relationship, we actively listen to broker feedback and invest in the right places to create a simpler and more digital lending experience. That means hands-on support from our national team of dedicated BDMs and relationship managers, alongside continual improvements to tools and processes that help brokers move efficiently from application to approval across home and business lending. Ultimately, it’s about giving brokers the confidence to guide their customers through important financial decisions.”
Founder and mortgage broker and Melbourne-based Brava Finance
"We all want the same thing: great outcomes for clients. But sometimes it feels like we’re not even playing the same game. The top pain points are long wait times — especially when you get sent back to the end of the queue — assessors with wildly different interpretations of the same policy, and inconsistent or unfair decisions that can derail a deal. Then there’s the chaos of communication. Every lender has a different process, different platforms, different requests. It’s a lot to juggle when you’re working across multiple lenders at once.
"Brokers can improve their relationships with lenders by knowing their stuff. Present clean, complete applications and get to know the lender’s appetite and quirks before you submit. Building relationships with BDMs who you trust and who get things done makes a massive difference. Also, be respectful, but persistent. And don't be afraid to escalate when your client deserves it.
"For lenders, train assessors consistently, streamline your processes, particularly the mortgage discharge authority process, and bring brokers into the fold. We're not just a channel. We're partners in getting great outcomes for customers. Lenders who listen, communicate clearly and treat brokers like true partners earn loyalty."
Founder and managing director at Adelaide-based brokerage Significant Financial Solutions
"The biggest pain points in the lender-broker relationship are channel conflicts. Some major lenders with branches will try to redirect clients to the bank, removing the broker-client relationship. Brokers are also governed by the best interest duty (BID). So we have stricter compliance than if the clients went directly to the lender. This adds to the channel conflict. In addition, communication and access to the assessment teams to discuss or workshop a transaction is a problem. And, turnaround times: lenders, depending on the scenario, have very long assessment times that impact the application. This can lead to brokers missing deadlines and then losing clients.
"Brokers can improve the relationship with lenders by having clearer submissions and transparent communication. Also, they can benefit from education on lender policies. Lenders can improve the relationship with better communication that allows access to credit assessment teams, as well as policy that makes sure that the team that is assessing the files is competent and has a clear understanding of the lender policies."
General manager, third-party banking at Commonwealth Bank of Australia (CBA)
"Strong lender-broker relationships are built on trust, transparency and consistency, particularly as economic conditions and customer expectations continue to evolve. One of the biggest pain points brokers experience is uncertainty, whether that’s around policy interpretation or visibility of where an application sits. This can make it harder for them to set clear expectations for customers.
"Brokers play a critical role in helping customers navigate increasing complexity, especially in a changing interest rate environment. Brokers can strengthen their relationships with lenders by engaging early on more complex scenarios, providing complete and accurate information upfront, and maintaining open, collaborative communication throughout the process.
"From a lender perspective, we know that consistency, clear credit guidance and reliable service levels are essential. That’s why at CBA we’re focused on reducing friction and improving transparency across the application journey. We’re continuing to invest in smarter digital capability, to give brokers greater visibility, faster resolution and more control over the customer experience. When lenders enable brokers with the right tools, timely information and consistent experiences, it allows them to spend more time advising customers and less time navigating the process."
Chief distribution officer at Liberty Financial
"Brokers and lenders share the same goal, which is to get great customer outcomes. When the relationship is strong, everything becomes easier. Of course, there are still a few pressure points, and turnaround times remain one of the big ones. In a market that moves quickly, certainty and clarity make all the difference. When outcomes become unpredictable, it naturally makes those customer conversations harder.
"What helps is early engagement and strong scenario preparation. When brokers can present a complete and well‑structured application from the outset, we can move faster together. Even a quick call to their BDM at the beginning of a deal can save a lot of time later.
"From the lender side, we’re always looking for ways to be easier to work with. At Liberty, we’re continually refining our processes so brokers can rely on us when it counts. Just as importantly, open communication and collaboration build trust across every interaction. Ultimately, great broker-lender relationships come down to communication, trust and a shared focus on helping customers succeed. When we stay closely aligned, everything else gets a little easier."
Founder and managing director at Perth-based brokerage Sonam Capital
"At Sonam Capital, we view our lender relationships as genuine partnerships built on mutual value. Having worked on both sides, within lending organisations and as a broker, I've seen firsthand that the strongest relationships are built on people, not just policies. While lenders provide the products and remuneration that enable our business, it's the individual bankers, BDMs and credit managers we work with who truly make the difference in delivering excellent client outcomes.
"Each lender has its own products, policies and points of differentiation. Our job as brokers is to understand these nuances and match the right lender to each client's specific needs. This is particularly crucial in our commercial finance work, which represents a significant portion of our business. Unlike the templated policies of home lending, commercial deals require decision-based credit assessment and relationship-driven outcomes. We need competent bankers with strong internal relationships who can navigate complex scenarios and deliver on their promises. When we tell a client a deal is likely to be approved, our reputation depends on working with bankers we trust and know who understand their credit appetite and can champion a deal internally.
"Having worked within lending organizations, I've seen what makes broker-lender relationships successful from both sides. It comes down to a few fundamental practices. First, transparency from brokers. We should flag potential issues upfront, before lodgement so they can be addressed early rather than after significant work has been invested. If there's a potential deal-breaker, both sides deserve to know immediately. Second, honest feedback from lenders. We value candid communication, whether positive or negative. A quick 'no' is actually a good outcome; it allows us to pivot to other lenders who might approve. What damages relationships is when bankers drag deals out for weeks or months before declining over something that was foreseeable from day one. If a banker is unsure, that's completely acceptable, just be transparent about it and commit to seeking clarity from a credit manager or more senior banker. Third, responsiveness on both sides is important. When a banker or broker calls, it signals something needs discussing. Answer the call, or return it promptly. Often a two-minute conversation can resolve what becomes a multi-day email chain or prevents a deal from stalling unnecessarily.
"Ultimately, the lender-broker relationship is reciprocal and symbiotic. Both sides need each other to serve borrowers effectively. The relationships that thrive — and that I've seen deliver the best outcomes across my career — are those built on honest communication, mutual respect and a shared commitment to client success. When we get that right, everyone wins. Brokers build sustainable businesses, lenders gain quality deal flow and loyal partners, and most importantly, clients receive excellent service and outcomes."
Founder and director at Adelaide-based brokerage SA Wealth
"In general, the second-tier lenders are all about brokers because that's where they get their business from. The majors have obviously a few different streams in terms of branch land and digital online and the broker channel. [But] brokers can deliver just the same as what the bank attends to, inside the branch land or online, in terms of pricing and policy. But as soon as you start having different policies and pricing for direct versus broker that's where the relationship starts to break down."
Founder and managing director of Melbourne-based Loan Studio
"I think there's certainly more work to be done across some lenders. But there's absolutely some lenders out there that are in the forefront doing what they can.
"To improve, it's really about flatlining stability across client direct versus broker. There are still lenders out there that if you go direct to that lender, you will get a faster SLA; you will get potentially a better interest rate. They will put you through different assessors. So from our perspective [as a brokerage], I want a level playing field. I would like a client to come to our brokerage and have the exact same experience, whether they go direct or through the broker. That means that we're obviously more inclined then to go to that lender [in the future], because we know it's a fair playing field. But at the same time, we just want to know that our role as a broker is to provide the best option to the client that is most suitable for their options is actually being met by the lender and not being undercut should they go direct [to the lender]."
