ASIC bans mortgage broker

Discussion in 'Loans & Mortgage Brokers' started by Dan Wood, 30th Oct, 2020.

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  1. Dan Wood

    Dan Wood Well-Known Member

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    ASIC bans mortgage broker

    Not sure if this allowed here? Anyway pretty interesting considering the brokers qualifications.
     

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    Dan Wood, 30th Oct, 2020
    #1
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  2. datto

    datto Well-Known Member

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    Sounds like my kind of broker.
     
    datto, 30th Oct, 2020
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  3. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    ;) former broker
    Ah well there is always conveyancing. :rolleyes:
     
    Paul@PAS, 30th Oct, 2020
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  4. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    Happens once or twice a year, someone gets banned for doing something fraudulent. It's probably equal across brokers and bankers. The bankers tend to end up out of a job, the brokers often end up in court. Even though the ban might be for 5 years, there's other criteria that means they'll never work in lending services again. Even if the ban is overturned her aggregator will likely sack her and no other aggregator will take her on.

    It's also an incredibly stupid thing to do. The person doing this literally hands over the evidence when they submit the application to the bank.

    On the flip side I can understand why some people would cross a line. People don't appreciate is the sheer amount of pressure we get from clients to get the loan approved. People really want that house. They might make a stupid financial decision. We're expected to get the loan even when it may not be possible. There's plenty of lending policies that I think are stupid, but I've still got to work with them.
     
    Peter_Tersteeg, 30th Oct, 2020
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  5. Redwood

    Redwood Well-Known Member

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    Is it me or is there less disqualifications these days? Maybe as ASIC is as corrupt as the Victorian Govt.

    Cheers Ivan
     
    Redwood, 30th Oct, 2020
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  6. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Selective disqualifications. So many out there giving unlicensed advice yet nothing happens to them.
     
    Terry_w, 30th Oct, 2020
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  7. Momentum

    Momentum Well-Known Member

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    I know a guy who forged an employer's letter and Photoshop bank statements to 'prove' his income to get a 500k loan to buy an IP. He's never missed a loan repayment so no-one is the wiser. I imagine it's pretty common
     
    Momentum, 30th Oct, 2020
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  8. Lindsay_W

    Lindsay_W Well-Known Member

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    I know of at least one recent case of a broker being banned up here in QLD and yet nothing was written about it, so potentially more common just not publicly reported
     
    Lindsay_W, 30th Oct, 2020
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  9. Simon Hampel

    Simon Hampel Founder Staff Member

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    I don't think it's particularly newsworthy - unless it was one of the larger companies and the problem was endemic.

    I follow ASIC on social media and see regular reports about financial advisors getting banned - I doubt there would be any media coverage in most cases. Unsurprising it would get coverage in an industry journal like in the original source of this report - Broker News, but hardly a matter of public interest in most cases.
     
    Simon Hampel, 1st Nov, 2020
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  10. htopg

    htopg Well-Known Member

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    Do you know any?
    PM me if you have any.
    Thanks :)
     
    htopg, 2nd Nov, 2020
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  11. datto

    datto Well-Known Member

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    Sorry I don’t know any that are bent. All straight as. In the past I have had dealings with a few brokers eg Aussie.

    They were ridgey didge. Their eyebrows rose to the top of their forehead when I requested my cash crop income be included in the calc. lol.
     
    datto, 2nd Nov, 2020
    #11