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.

FBAA welcomes ASIC reduction of fees

clap applause ta clap applause ta
Reporter 3 minute read

The Finance Brokers Association of Australia has welcomed the news that ASIC has reduced the cost of acting as a credit representative by 85 per cent due to a decreased cost of enforcement.

According to the FBAA, the Australian Securities and Investments Commission (ASIC) has confirmed to the body that broker credit representative licence fees have been reduced as a reward for the sector’s professionalism. 

The cost to act as a credit representative for brokers has dropped by nearly 85 per cent, from $104 to just $16.48 annually.

FBAA managing director Peter White said the confirmation of reduced fees means brokers are being rewarded for doing the right thing by their clients.

Advertisement
Advertisement

“ASIC operates on a cost recovery method, which means they only charge fees that cover the costs of enforcing to the industry,” he said.

The FBAA noted that the total cost of legal enforcements against mortgage brokers started at $15.6 million, dropping to under $9.1 million mid-year before being revised this month to $5.74 million, nearly a third of the original cost.

Mr White commented: “While banks have been exposed for their poor practices, brokers are being recognised for being best of breed.

“The professionalism of the industry and the ability of brokers to deal with any poor behaviour swiftly is paying dividends.

“The standard of our brokers and our own monitoring practices have improved markedly and that is why ASIC has revised its fee schedule.

PROMOTED CONTENT


Mr White concluded: “We hope they will continue to be able to reduce the fees as we improve what we do and demand the high standards that borrowers expect and deserve.”

[Related: ]

FBAA welcomes ASIC reduction of fees
clap applause ta
TheAdviser logo
clap applause ta

 

more from the adviser
merger puzzle Choice, FAST, PLAN join Loan Market Group

The three aggregators have officially joined Loan Market Group to...

meeting top view ta 62c1 CAFBA urges Senate to protect business lending

The broker association has called on the Senate to ensure that an...

passport BMM launches new overseas buyers loan

Non-bank lender Better Mortgage Management has launched a new loa...

FROM THE WEB