Why consumers need mortgage brokers

The Mortgage broking industry represents 53% of all home loans settled in Australia. That equates to approximately $140B in new loans each year.

There has been a bit of negative press about the industry of late with the media targeting certain brokers who may or may not, have misled or misrepresented consumers and lenders with loan applications.

The Federal Government has also asked ASIC to investigate and provide feedback on the commission structures mortgage brokers receive from lenders.

Despite the mortgage broking industry having a relatively youthful existence (25 years), it is a highly regulated industry through ASIC, its governing bodies the FBAA and MFAA and the requirements set out by banks and lenders who accept loan applications from mortgage and finance brokers.

In this podcast, we chat to Peter White, CEO of the Finance Brokers Association of Australia about the issues facing mortgage brokers and how they may or may not impact consumers.