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MFAA Industry Defence Presentation

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Those of you who attended an MFAA Roadshow during May, would know they are launching a series of proactive initiatives designed to defend mortgage brokers from recent criticisms in the media and to promote the value you provide to your customers.

The MFAA has stated that it welcomes industry scrutiny, because the relevant data portrays an industry that helps customers and drives competition to the benefit of all consumers, and the Australian economy.

Some of the data they present in defence of mortgage brokers includes:

  • Over 50% of residential lending is now originated by brokers.
  • Broker’s Net Promoter Score exceeds +70.
  • 92 per cent of consumers have reported they are satisfied with their broker’s performance.
  • Broker originated loans have doubled since 2008, however complaints to the MFAA have plummeted by 78 per cent during the same period.
  • Complaints about brokers represent just 6.1 per cent of all complaints to CIO.
  • Mortgage brokers account for just 1 per cent of complaints to FOS.
  • ASIC data shows there is no significant difference in arrears between the broker channel and the proprietary channel.
  • ASIC’s data has also confirmed there is no significant relationship between broker commissions and loan arrears.

The MFAA will continue to advocate on your behalf with political decision-makers and aim to deliver a communications pack based on the data above. You will also see more consumer-facing communications via a proactive campaign in the coming months.

Meanwhile, the MFAA has prepared a two-page fact sheet which you can share with your clients now. To access the fact sheet, simply click here. Alternatively, read more on the MFAA website where you’ll find a message from Mike Felton, MFAA CEO and links to more information.