BFCSA Blog

We agree - bank managers and officers have been writing a minimum of 36% of all Toxic loans where fraud takes place inside the bank.  Staff are also "tweaking" loans submitted by "agent sellers" after the Loan Applications have been sent in for "processing."  We have the proof.  We simply need a Royal Commission into the banks asap, so that we can present our collective and extensive evidence.  INTEREST ONLY LOANS ought to be banned immediately. We need to jail a few Bankers.   Notice how ASIC is simply rounding up a couple of hapless brokers a year?  We notice and so does the "seller agent" industry.  This email address is being protected from spambots. You need JavaScript enabled to view it. ASIC should crack down on bank branch managers, association says       inShare by Adam Smith | 27 Aug 2014   An industry association has called for ASIC to apply the same scrutiny to bank managers as it does to brokers.According to a Fairfax report,...

FBAA slams LMI insurers for non-disclosure   by Calida Smylie | 15 Apr 2014  AUSTRALIAN BROKER NEWS The Finance Brokers Association of Australia believes there is a need for greater transparency and disclosure on behalf of lenders and Lenders Mortgage Insurance insurers to make sure consumers are not being ripped off by having to pay LMI. The Reserve Bank of Australia estimates more than one quarter of housing loans in Australia are subject to LMI.  In the financial year ending 30 June 2013, banks made an estimated 761,880 home loans, totalling $247.9 billion in lending, which indicates around 190,470 loans created in that financial year were subject to LMI. But FBAA said in its submission to the financial services inquiry that there are many issues surrounding LMI, including consumers not being provided with LMI product disclosure statements, including any details regarding any commissions payable to the lender. “Privity of contract is the...