the adviser logo

Major banks' broker offerings in the spotlight

by James Mitchell4 minute read

Australia’s big four banks are under the spotlight as brokers have their say on how the majors are performing when it comes to mortgage lending and third-party service.

The Momentum Intelligence Third-Party Lending Report: Major Banks 2017, the latest survey forming wider research into third party sentiments on Australia's lending institutions (including mutuals, non-major banks and non-banks), comes at a critical time in Australian mortgage lending.

The last 12 months have been challenging for the big banks. Rising funding costs have continued to pressure margins, leading to pricing changes towards the end of 2016. Meanwhile, regulatory measures and higher capital requirements are forcing the big four to tweak their policies.

Brokers are now being asked for their thoughts on which lenders have continued to deliver excellent product and service, and which lenders have communicated the myriad changes best.


“In recent months, the pendulum of mortgage lending has swung away from the big four and towards the smaller lenders,” Momentum Media’s James Mitchell said.

“According to the latest AFG Competition Index, broker-originated major bank mortgage sales slipped by 8.1 per cent in the final quarter of 2016 to 64.1 per cent of the market,” Mr Mitchell said.

“This is the lowest level of major bank market share since the GFC,” he said.

In last year’s Momentum Intelligence report, Westpac fared the best in terms of the impression it’s making on the third-party channel. Brokers ranked Westpac first overall in 2016, while CBA ranked second, followed by ANZ and NAB.

Each bank obtained a higher total score than 2015, with ANZ recording the greatest improvement overall.

In 2016 all banks saw an improved score in the overall technology category, compared to the previous year, with brokers impressed with the big four’s web presence, online application status tracking and valuation ordering online.

“Brokers have the opportunity to once again rate the biggest banks in the country on their home lending offerings,” Mr Mitchell said.

“We’d be grateful if you could spare a few minutes of your time to complete our survey. Your feedback will play an important role in helping the major banks improve their third-party offerings for all mortgage brokers.”

The key findings will be revealed in an upcoming issue of The Adviser magazine, and on www.theadviser.com.au.

This survey will close on Friday, 24 February 2017.

[Related: Major bank sees 8.4% fall in broker market share]

magnifying glass  x

James Mitchell

James Mitchell


James Mitchell has over eight years’ experience as a financial reporter and is the editor of Wealth and Wellness at Momentum Media.


You need to be a member to post comments. Register for free today


CEO Sleepout Pepper Money

Mortgage industry raises more than $160k in CEO Sleepout

On 23 June 2022, several CEOs and directors in the mortgage and finance industry spent a night without shelter to...

alex whitlock

New membership program revealed for The Adviser

Members will be able to access exclusive sales and marketing strategy, business intelligence and exclusive market...

Hot property TA

Hot Property: The biggest property headlines from the week 27 June to...

Welcome to The Adviser’s weekly round-up of the headline stories and news that are important not only for the...

Read the latest issue of The Adviser magazine!
The Adviser is the number one magazine for Australia's finance and mortgage brokers. The publications delivers news, analysis, business intelligence, sales and marketing strategies, research and key target reports to an audience of professional mortgage and finance brokers
Read more