Powered by MOMENTUM MEDIA
SUBSCRIBE TO OUR NEWSLETTER SIGN UP
Powered by MOMENTUM MEDIA

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

Carrington National withdraws from broker channel

Staff Reporter 3 minute read

Carrington National will withdraw from third party distribution as the quality of its broker-originated loans deteriorates.

Gino Marra, Carrington National CEO, told Mortgage Business, the decision was the result of an assessment of the mortgage manager’s loan book arrears.

“We looked at our overall distribution model, including our arrears portfolio, and found that the majority of our arrears were coming from brokers, yet they only accounted for 60 per cent of our business,” he said.

But while Carrington National will cease its broker distribution, Mr Marra remains committed to the group’s white labelling business, Potentia Finance.

Advertisement
Advertisement

The sub-wholesaler currently funds around 16 originators and Mr Marra sees good potential for future growth.

“Our arrears with our mortgage originators were nowhere near as high,” he said.

Mr Marra confirmed that all broker trail commissions on existing loans would be honoured as per agreement following the official cut off date for new loans on 20th September.

Published: 16-09-08

Today's other stories

PROMOTED CONTENT



Carrington National withdraws from broker channel
default
TheAdviser logo
default

 

more from the adviser
handshake Former RAMS CEO to head up BOQ retail bank

Westpac’s current chief digital and marketing officer and forme...

AFG office Aggregator reveals record-breaking lodgements

Australian Finance Group has revealed its brokers lodged more loa...

online education tools ta iSelect launches SME loans in Valiant partnership

Comparison website iSelect launched a new business loan offering ...

FROM THE WEB