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 4 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

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! Tickets are on sale now. Work smarter, not harder, this year.

clap applause ta

 

more from the adviser
Blake Albones Bank announces new head of home lending distribution

MyState Bank has hired the CEO of RateOne and former NAB head of ...

Sydney Sydney mayor launches business support, calls for JobKeeper

Sydney’s mayor has urged the federal government to resurrect Jo...

mortgage payments money Banks accused of bias against BNPL in lending process

An executive from buy now, pay later provider Zip has echoed repo...