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.

ME increases upfront commission

percentage increase  x percentage increase  x
Reporter 4 minute read

Industry super fund-owned bank ME has announced it will increase its upfront commission for brokers.

This will take the bank’s upfront commission from 0.60 per cent to 0.65 per cent excluding GST, but it will continue to pay GST on this amount.

Lino Pelaccia, ME’s general manager of broker sales, said the increase will apply to all settlements that occur on or after 1 July 2015.

“That means a higher upfront commission can apply to applications brokers currently have in our pipeline,” he said.

Advertisement
Advertisement

Mr Pelaccia said the new upfront commission will apply to top-ups of $50,000 and over.

“ME will continue to maintain a commission structure commensurate with our growth plans, recognising the vital role brokers play in the promotion and distribution of our home loan products,” he said.

ME’s commission increase is the first from a lender reported by The Adviser in two months.

Heritage Bank announced in April it would increase its upfront commission by 10 basis points to 0.65 per cent, while Homeloans announced in the same month it would also increase its upfront commission by 10 basis points to 0.70 per cent.

ME reported $3.8 billion of home loan settlements for the 12 months to 30 June 2014, marking an 18.7 increase on the previous year.

PROMOTED CONTENT


The bank’s third-party settlements jumped 143 per cent to a record $1.2 billion during the same period, while its number of accredited brokers grew 65.9 per cent to 4,800.

[Related: Bank changes name, unveils new products]

ME increases upfront commission
percentage increase  x
TheAdviser logo

If you’re feeling overworked and overwhelmed in this fast-paced mortgage market, it’s time to make some changes, and the Business Accelerator Program can help! Work smarter, not harder, in 2022 and beyond, visit the website here to secure your ticket.

percentage increase  x

 

more from the adviser
YBR home loans 850x380 ta

Breaking News

YBR Home Loans flags digital pivot, broker expansion

The major brokerage has launched a digital mortgage broking busin...

stressed woman ta

Breaking News

‘Perfect storm’ of trouble ahead for SMEs

An SME lending company has warned that many retail and supplier b...

uptick

Breaking News

Wisr hits high for new loans

The ASX-listed personal lender wrote $132 million in new loans du...