The Word - Are the disclosure documents associated with NCCP regulations too onerous for brokers?

Mortgage Choice    
“It’s just more paperwork really. The clients hardly even read it – they just sign it. In the interview we’ve gone through what we’re going to do; the paperwork just verifies that. I think it’s a good thing because it protects us by putting what we discussed, and how we assessed it with them, in writing. Before, they didn’t even know what we sent to the lender. It gives us a bit of a safety net. They’re accepting how we’ve assessed their ability to pay the loan.”

TONY BICE
Finance Made Easy
“It’s more complex than before NCCP. There is a hell of a lot more work involved. You’ve got to try and find that balance between giving the client the appropriate amount of information and workload. The secret with NCCP documentation is to somehow streamline the system so it makes it less complicated for the client. At the moment it’s too much to absorb. It’s good because it informs the client but we don’t want to overcomplicate the process and confuse the client any more than they are already.”

STEVEN MCCLURE
Mortgage Wisdom
“Compliance adds professionalism to what we’re doing in the eyes of the client and as with any form, you don’t read it word for word to a client, you point out all the important parts. Before compliance, clients got basically nothing from some brokers. When all the changes went through, I spent a lot of time setting up a good format for my compliance documents. The secret is to get good compliance documents. I find completing the whole document takes me 10 to 15 minutes.”

TROY GALLEGHAN
Financial Tuneups
“I think it is just doubling up on paperwork. Lenders have changed in recent times and they have adapted a lot of it into their applications. Now we have huge forms to fill out and get through with clients, who I doubt would read them on their own anyway. Things just take a lot longer now for every single client. I don’t think they were needed. I don’t think it will help raise industry standards.”

MARK HEWITT  
AFG
“The complaints are coming from brokers whose aggregators require them to produce information into the system a couple of times to produce the information. Once the decision was made and the law came in, we got along to designing our system and looking for ways to make it workable for our brokers so they could cut down the amount of interviews they had to do, and produce the appropriate documentation and get the loan application in.”