Mortgage brokers are now subject to new uniform consumer credit 
laws governed by ASIC, which ensure lenders and credit service providers engage in responsible lending and transparent customer service.
So how else can you tell that you have chosen the right mortgage broker for your needs?
In part 2 of ‘What you should look for in a mortgage broker’ we give you the 3 next questions that you should ask when looking for who to go to with your home loan needs.
Q3. Can the broker demonstrate professional standards?
- Are they compliant with the National Consumer Credit Protection legislation?
- Have they completed an accredited mortgage broking training course, including qualifications for Certificate IV in Financial Services (Finance and Mortgage Broking)?
- Do they carry adequate professional indemnity insurance?
- Are they a Mortgage & Finance Association of Australia member and do they comply with its Code of Practice?
Q4. Can they offer real choice of home loans?
- Do they have access to at least 15 lenders ranging from big banks, smaller banks, building societies and credit unions on their lender panel?
- Will you receive a written comparison of home loan options including upfront, ongoing and exit fees?
Q5. Is the broker’s advice and service at no cost to you?
- Outside of the normal home loan application fees, will the broker’s service be at no cost to you?
Making sure that you feel comfortable with your mortgage broker is very important as you will be leaving your home loan future in their hands.
To view the first two questions you need to ask before making up your mind about a broker go to ‘How do you choose a good mortgage broker (Part1)’.
If there is anything you would like to add about the new legislation then leave us a comment below.
Useful links:
Find a local mortgage broker
Financing Broking Agreement – Mortgage Choice disclosure
Mortgage and Finance Association of Australia
Tags: ASIC, home loan industry, Mortgage Brokers
