The industry association has ramped up its efforts to encourage the broader community to advocate for the broking industry amid uncertainty surrounding proposed remuneration reforms.
The Finance Brokers Association of Australia (FBAA) has announced the launch of its “Don’t Burn Borrowers” campaign, designed to encourage brokers and the public to sign the Change.org petition to protect the industry from proposed changes to remuneration.
The FBAA’s new initiative also seeks to motivate supporters of the broking industry to continue lobbying their state and federal MPs, as well as electoral candidates, ahead of the May federal election.
The “Don’t Burn the Borrowers” website contains information about the impact that commissioner Kenneth Hayne’s broker remuneration reforms would have on both brokers and borrowers, as well as information about the value of the broker proposition and the pro-competitive role that it plays int the mortgage market.
The campaign is supported by social media advertising and promoted through various channels, including via the networks of mortgage brokers and their businesses.
FBAA managing director Peter White said that his regular meetings with senior MPs from all political parties, as well as independents, have been fruitful, pointing to the Coalition government’s decision to overturn its initial proposal to ban trailing commissions from 1 July 2020.
“The result is the Morrison government supports leaving the current remuneration structure unchanged, which is fantastic for our industry and, more importantly, borrowers in Australia, but there is still a long way to go,” he said.
“We want to maintain the momentum on these issues, so we have launched a public social media campaign to call for everyone to work together so we can stop these misguided recommendations from burning borrowers and brokers and hurting the economy.”
Mr White continued: “Our politicians have made significant changes to their position, which we applaud, but as we head into an election campaign, brokers will continue to campaign on appropriate commission structures and a best interests duty that works for consumers and is targeted specifically for mortgage brokers.”
The managing director also said that the campaign aims to inform stakeholders about the risks associated with fundamental changes to the broking model.
“The ‘Don’t Burn Borrowers’ campaign seeks to remind politicians and all stakeholders that this conversation is not solely about brokers or even the survival of the industry – it’s about borrowers and limiting choice, resulting in higher fees and higher interest rates, and that will impact all of us,” Mr White added.
Mr White concluded by stating that the FBAA would continue to engage with policymakers to help deliver the “best possible outcome for borrowers, brokers and the broader economy” following the federal election.
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