Brokers crucial to competition

1300HomeLoan managing director John Kolenda said the growth of the third party channel has ensured healthy home loan competition.

“Brokers save consumers hundreds of millions each year by finding their clients the most competitive home loan product,” Mr Kolenda said.

“Over the past two decades they’ve saved mortgage holders billions of dollars. Almost 50 per cent of Australian home loans are written by brokers and they help consumers benefit from lower interest rates and long term savings on their mortgages.

“Through effectively forcing competition among lenders for your business they have put pressure on interest rates and kept the banks honest.”