Bank lifts broker commissions

Staff Reporter

Two weeks after NAB Broker announced it would up commissions, one of Australia’s non-majors has announced changes to its commission structure.

Effective from February, Suncorp will pay its broker members 0.15 per cent trail in the first year.

In addition, the lender will pay 0.15 per cent up front bonus commission for conversion of lodgement to settlement as well as commission on construction loans across all geographies and commission on fixed and variable loans at the same levels.

Speaking about the commission changes, Suncorp Bank General Manager Intermediaries Steven Heavey said the bank was committed to improving its broker proposition in the New Year.

“We’ve simplified our commission structure, enabling greater consistency and clarity for our brokers, putting us in a more competitive position within the market,” Mr Heavey said.

“Brokers are a core part of our lending strategy and we want to make it easier for them to do business with us by removing some of the barriers and complexities they may have experienced in the past. We also understand that under NCCP brokers are paying more money upfront, this helps them with that burden."

“We understand that their success is our success and I know this new streamlined structure will be a positive for all parties.”

Upfront commission will continue to be 0.5 per cent, while 0.15 per cent trail will be paid in the first three years, increasing to 0.20 per cent in year four.