The MFAA has committed to communicating to its members fortnightly with an update on the ASIC Inquiry. MFAA News will be our main channel, with a regular segment called 'The Long Game', which will provide updates and seek feedback on issues that arise.
14 March 2016
The MFAA's Response to ASIC's Review of Mortgage Broker Remuneration Structures Scoping Discussion Paper can be downloaded here.
4 March 2016
The MFAA has been working on the draft submission for the ASIC Inquiry and is now seeking your feedback of the proposed document. We are working towards providing a positive review of our industry and you can assist. To keep us on the necessary timetable all feedback must be received by COB Wednesday March 9 via email to firstname.lastname@example.org
Download the draft ASIC Inquiry submission here.
24 February 2016
ASIC issued the MFAA with the ‘Broker Remuneration Review – Scoping Discussion Paper’ (click to download). The Discussion Paper clearly outlines the proposed focus for the review and highlights a series of review elements, including;
1. Overview of the Home Lending Market
The Home Lending Market Review will consider the core market elements (structures, relationships, activities), it will review the mortgage broker market in the context of the wider lending market, ownership structures and their impact (if any) on product accessibility, loan performance and quality of consumer outcomes.
2. Remuneration Structures
Forming a key component of the review, all remuneration structures will be examined including non-monetary benefits which relate to the distribution of home lending products throughout the value chain and ASIC will seek to understand any differences in remuneration structures within distribution channels.
3. Consumer Outcomes
Consideration will be given to whether consumer outcomes are currently influenced by remuneration structures. Key outcomes being reviewed include product price, accessibility, features, performance and service times and consideration will be given to the varying importance placed on these from consumer to consumer. ASIC seeks to understand the factors and priorities which drive consumers to select their preferred channel and understand consumer expectations of and experiences with, particular home lending distribution channels.
The ASIC round-table meeting will commence this week in Sydney (26th Feb) and next week in Melbourne (29th Feb). Thanks to broker nominations from last week’s MFAA News both sessions are now FULL with brokers from a variety of backgrounds taking the opportunity to represent the broader membership and industry.
Next week we will provide an update on these sessions and the information will be used to DRAFT a submission to ASIC on the scope.
ASIC has requested that the MFAA provide written feedback on the scope of the review by Friday, 11th March 2016. Please email email@example.com