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Mortgage brokers to have their wings clipped; Poor Rufus, don't they know you're a top bloke?'
Topic Started: 11 Jul 2017, 09:51 PM (2,322 Views)
Chris
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Rufus
12 Jul 2017, 02:46 PM
To be frank Chris, I'm happy to answer questions or take the time to explain things to you, but I'm not one bit interested in your opinions.

Cheers,
Or the opinion of ASIC either it would appear
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Rufus
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Chris
12 Jul 2017, 04:01 PM
Or the opinion of ASIC either it would appear
No that's not right, I take the opinion of ASIC very seriously.

I quote Greg Medcraft the Chairman of ASIC

Quote:
 
‘Brokers deliver great consumer outcomes’; ASIC chairman
Link
The chairman of Australia’s financial services regulator has said that he believes “brokers deliver great consumer outcomes”, and that they “shouldn’t necessarily be blamed” for any potential mortgage stress.
Speaking after the release of the Australian Securities & Investments Commission's (ASIC) Review of mortgage broker remuneration on Thursday (16 March), chairman Greg Medcraft told ABC’s program The Business that “the bottom line is that brokers deliver great consumer outcomes”.

When asked by host Elysse Morgan about the report’s finding that brokers “generally provide bigger and riskier loans” than those coming directly through lenders, Mr Medcraft responded: “One of the observations was that loans [written through the broker channel] are larger, [and] generally a lot of time interest only… [but] I think you need to think about looking at what the banks are showing in terms of the results of their mortgage portfolios before you can really draw any conclusions from that statistic.”
When asked by Ms Morgan whether mortgage stress would “pop up in areas of broker activity” should interest rates go up, Mr Medcraft stated that it was “very hard to call”.
He said: “f the lending has been in a higher loan-to-value or interest-only loans, that could be an area of more stress. But that is possibly because people who are looking for these sorts of loans go through mortgage brokers, but it depends… the channel shouldn’t necessarily be blamed.

“What we have to remember at the end of the day, the lenders themselves are still responsible for the lending. Let’s not get away with the fact that the lenders still are the responsible parties doing the lending. Let’s not blame the brokers. They [the lenders] still are responsible, they still have responsible lending obligations. So, let’s look at, not the channel, but back to where the lending occurs, that’s most important.”


So yes I take notice of people in the industry who know a thing or two, but when it comes to absolute numpties like you, then any sane person would disregard anything you have to say, and I'm a sane person.

Cheers,

Edited by Rufus, 12 Jul 2017, 04:25 PM.
Take risks - if you win you will become wealthy, if you lose you will become wise
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Rat
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Filthy Rodent

I'm sensing a lot of anger, envy and bitterness from young Chris here.
Consumer protection laws extended to small businesses. Banks not permitted to repossess due to non-monetary defaults (for example, a fall in the property value).
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herbie
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Rufus
12 Jul 2017, 04:23 PM
... when it comes to absolute numpties like you, then any sane person would disregard anything you have to say ...
Whilst I'd like ta commend ya on tha wisdom on that choice Rufus, I can only really just agrees wif ya it's tha only one any sane person could make.
Edited by herbie, 12 Jul 2017, 08:47 PM.
A Professional Demographer to an amateur demographer: "negative natural increase will never outweigh the positive net migration"
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Trollie
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Rat
12 Jul 2017, 04:36 PM
I'm sensing a lot of anger, envy and bitterness from young Chris here.
trouble is he's not that young, he's blown the opportunity to buy at the bottom of the last cycle and he's now got to less choice.
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stinkbug
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This whole thread is a complete beat up.
---------------------------------------------------------------

While it's true that those who win never quit, and those who quit never win, those who never win and never quit are idiots.

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herbie
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Chris
12 Jul 2017, 04:01 PM
Or the opinion of ASIC either it would appear
Seems ya just got ya arse handed ta ya yet agin Chris - Yet ya just keeps on keepin' on runnin' 'round like a headless chook spruikin' more shit.
Edited by herbie, 12 Jul 2017, 08:25 PM.
A Professional Demographer to an amateur demographer: "negative natural increase will never outweigh the positive net migration"
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A Lurker
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I used a broker that charged a flat fee for service upfront. I had to pay it even if I never was approved or drew the loan. On settlement of the loan the commission the broker would have received was sent to me and I have a permanent additional 0.15% discount (or 0.2 I can't remember) on the loan in place of the broker getting a trail. Currently sub 4% interest and it's with an Aussie bank. The flat fee for service was less than half the initial commission rebate. Doesn't suit everyone as some people don't like paying things up front.
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Rufus
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A Lurker
12 Jul 2017, 11:22 PM
I used a broker that charged a flat fee for service upfront. I had to pay it even if I never was approved or drew the loan. On settlement of the loan the commission the broker would have received was sent to me and I have a permanent additional 0.15% discount (or 0.2 I can't remember) on the loan in place of the broker getting a trail. Currently sub 4% interest and it's with an Aussie bank. The flat fee for service was less than half the initial commission rebate. Doesn't suit everyone as some people don't like paying things up front.
Yep, that's an alternative model and brokers would possibly do better than they do now because there are a lot of loans that don't get approved, or they don't get drawn, or they payout the loan within 12 months through a refinance or sale.

Given that a large number of broker clients have already been refused by a lender, they may just not have the confidence to pay an upfront fee regardless of the outcome. Most borrowers are happy for the broker to receive a fee that the bank pays "IF" they get their loan.

There is room for more than one model and it's probably good to have a choice.
Take risks - if you win you will become wealthy, if you lose you will become wise
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