The coalition government will continue to allow upfront and trail commissions for new loans if it remains in government.
Mortgage Industry spokesman, Mike Felton (CEO of MFAA) said that this should be a bipartisan decision.
Josh Frydenberg has agreed that it is not in the best interests of the finance industry to adopt Hayne’s recommendation of the banking royal commission to wipe out the mortgage broking industry by doing away with commissions, which is how mortgage brokers get paid!
“Mortgage brokers are critically important for competition and delivering better consumer outcomes in the mortgage market ” says Josh.
The Numbers
Almost 60 per cent of all residential mortgages are settled by mortgage brokers.
There are 16,000 mortgage brokers across Australia – many of which are small businesses – employing more than 27,000 Humans.