MFAA's initial response to draft NCCP Amendment (Mortgage Broker) Bill 2019

Yesterday (26 August 2019), the Government released the draft National Consumer Credit Protection Amendment (Mortgage Broker) Bill 2019 and draft Regulations. This draft Bill is in response to recommendations made by the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.

This scrutiny of our industry and changes to regulation are to be expected, given the Royal Commission recommendations, and the fact that mortgage brokers originate almost 60 per cent of all mortgage lending in Australia. The mortgage broking industry is now systemically important to the Australian economy, so it is appropriate that our practices will be regularly reviewed by government and regulators. The MFAA has engaged with Treasury directly and with the Combined Industry Forum (CIF) throughout the development period of the draft legislation. This exposure draft Bill seeks stakeholder views on the draft legislation, the regulations and the explanatory materials around the proposed reforms.

To read the full press release, click here.


CHOICE media campaign not representative of mortgage broking industry

The Mortgage & Finance Association of Australia (MFAA) has today expressed disappointment that its membership and the mortgage industry has been misrepresented by a CHOICE media release regarding broker education and accreditation.

The release makes a number of statements which are misleading including stating that mortgage brokers only require a Certificate IV in Finance and Mortgage Broking to work in the industry.

To read the full press release, click here.


MFAA calls for a more considered implementation on vulnerable customers

The Mortgage & Finance Association of Australia (MFAA) has called for a more measured and careful approach to implementing a key element of the Australian Banking Association’s (ABA) new Banking Code of Practice (the Code) to ensure vulnerable customers are protected, and good outcomes for all customers are preserved.

The ASIC-approved Code will be implemented from 1 July 2019, and mortgage brokers are being required by banks to assist in meeting their obligations under some elements of the Code, most notably with regard to vulnerable customers, co-borrowers and guarantors.

To read the full press release, click here.


Industry Urges Australians To Protect Competition in Home Lending

The Mortgage & Finance Association of Australia (MFAA) and a coalition of industry partners have launched a national campaign to remind Australians what a world without brokers would look like.

The industry faces potential policy changes that could make the mortgage broker channel unsustainable, drastically reducing competition, choice and access to credit in home lending, while delivering a windfall for major banks.

To read the full press release, click here.