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.

The Word: White-label products

Emma Ryan 6 minute read

This month we ask: Do your customers see the value in white-label products?

Customers like the white label

I think so. Choicelend (CL) allows upfront valuations, which for an investor is important. Loan switches/ changes post-settlement are cheap ($100) which is also handy for an investor, as they quite often want to change their loans around (fi x/split, etc.). Interest rates are typically lower than the other lenders too. I don’t have to explain it to my customers. When I compare the interest rate, fees, free upfront valuations and the fact that CL is funded by NAB, they’re usually happy to take my recommendation.

Deanna Ezzy, Trilogy Investment Property Funding, ACT

Advertisement
Advertisement

 

There’s a definite advantage

They do once they understand it. Their initial fear is: “Is this guy going to be some small lender that’s going to go broke and I’m going to get left with no mortgage?”. But once you sit down and explain to them that it’s funded by a major, but it’s not a product that’s available through any of the branches and it’s a unique product to the broker market, it’s a lot easier. I think if you present it to a borrower and then you show them who the sub-funder is, they’re a lot more confident.

Brian Warner, Finance Partners, SA

 

PROMOTED CONTENT


It’s a case of horses for courses

It’s not universal; it is a little bit horses for courses. I do definitely have to explain it to them, there’s no two ways about it. Particularly those clients that haven’t had dealings with a smaller institution or dealings with an institution that doesn’t necessarily have a very significant presence, so we do need to explain that quite extensively. But that’s no different from having to explain our recommendations behind any product with any lender due to the regulatory environment at the moment.

Gary Benzan, Loanology, SA

 

It depends on the customer

I believe clients in general are much better educated now than ever. This came firstly through the education by good brokers to what the market has to offer and how clients can use product features and benefits. Secondly, there is media and information available online that give consumers the option to learn. [However] there is still a considerable portion of consumers who only look to interest rates in their decision where product, loan purpose and so forth should be a consideration.

Tony Schelling, Mortgage Choice, NT

 

Not really suitable for client’s needs

At the end of the day, I see clients have two or three major needs. One is interest rate or affordability and two is the strategy. Is the product going to suit their overall strategy and objectives? We’ve had white-label in the past but we decided not to use it, because it wasn’t cost-effective for the consumer. As much as it’s being our own brand, we found it not very viable so we didn’t sell it. We gave clients more of a choice and variety in other products out there that can best suit their needs.

Kyle Marshall, Vogue Financial Solutions, QLD

The Word: White-label products
default
TheAdviser logo

If you have ever considered how you could better service your SME clients but lack the knowledge or confidence to do this beyond referring them on, this is a must-attend event for you. Don't miss SME Broker Bootcamp, a jam-packed, free-to-attend, practical workshop. Register today and secure your place at this interactive, flexible, must-attend event.

default

 

more from the adviser
Finsure rebrand

Breaking News

Finsure sale clears regulatory approval

APRA has given the green light to BNK offloading its mortgage agg...

house sold

Breaking News

Hot Property: The biggest property headlines from the week 17-21 January

The weekly round-up of the biggest news stories from across Momen...

mortgage growth

Breaking News

AFG broker lodgements hit new record

Brokers aggregating under the group wrote a record $92 billion of...