Recommendation 1.2 – Mortgage Brokers – Best InterestMortgage broker best interests duty Recommendation 1.3 – Mortgage Brokers – RemunerationMortgage Broker Remuneration Recommendation 1.6 – Mortgage Brokers – Reference CheckingReference checking and information sharing for mortgage brokers Recommendation 1.7 – Point Read More …
Tag: broker
Recommendation 1.4
Recommendation 1.4 – Council of Financial Regulators and the Australian Competition and Consumer Commission review of changes to mortgage broker remuneration and operation of upfront and trail commissions
Measures to improve consumer protections
Recommendation 1.2 – Mortgage broker best interests duty Recommendation 1.3 – Mortgage broker remuneration (consistent with the Government’s response) Recommendation 2.4 – Ending grandfathered commissions for financial advisers (legislation introduced on 1 August 2019) Recommendation 4.2 – Removing the exemptions Read More …
Strengthening protections
Strengthening protections for consumers, small businesses and rural and regional communities All Australians have the right to be treated fairly in their dealings with their financial firms. This is critical to ensuring that Australians can confidently engage with, and have Read More …
1.6 — Misconduct by mortgage brokers
ACL holders should: be bound by information‑sharing and reporting obligations in respect of mortgage brokers similar to those referred to in Recommendations 2.7 and 2.8 for financial advisers; and take the same steps in response to detecting misconduct of a Read More …
1.5 — Mortgage brokers as financial advisers
After a sufficient period of transition, mortgage brokers should be subject to and regulated by the law that applies to entities providing financial product advice to retail clients. Government Response The Government agrees to introduce a best interests duty for Read More …
1.4 — Establishment of working group
A Treasury‑led working group should be established to monitor and, if necessary, adjust the remuneration model referred to in Recommendation 1.3, and any fee that lenders should be required to charge to achieve a level playing field, in response to Read More …
1.3 — Mortgage broker remuneration
The borrower, not the lender, should pay the mortgage broker a fee for acting in connection with home lending. Changes in brokers’ remuneration should be made over a period of two or three years, by first prohibiting lenders from paying Read More …
1.2 — Best interests duty
The law should be amended to provide that, when acting in connection with home lending, mortgage brokers must act in the best interests of the intending borrower. The obligation should be a civil penalty provision. Government Response The Government agrees Read More …
Recommendations – Banking
Recommendation 1.1 — The NCCP Act Recommendation 1.2 — Best interests duty Recommendation 1.3 — Mortgage broker remuneration Recommendation 1.4 — Establishment of working group Recommendation 1.5 — Mortgage brokers as financial advisers Recommendation 1.6 — Misconduct by mortgage brokers Read More …