Move by Australia's largest mortgage lender targets inactive deal writers
Commonwealth Bank has removed the accreditations of an unconfirmed number of mortgage brokers, correspondence seen by MPA confirms.
In a letter sent to affected brokers on Thursday, the lending giant said: “As part of our regular processes, broker activity is periodically reviewed to ensure brokers maintain current knowledge of CommBank products, policies and processes in line with Clause 33 of the Mortgage Broker Code of Conduct.”
The code reads: “You must satisfy any criteria for ongoing accreditation as specified by us from time to time, including maintaining an adequate level of skills and knowledge to ensure that you deliver good customer outcomes for CBA customers and maintain a good understanding of CBA products and policies, and you undertake to complete any e-learning or other training as required by us to maintain your accreditation.”
CBA continued: “This decision has been made following careful review of the information available to us, including our records of application activity. This outcome does not impact any future membership or insurance renewal.”
One unaffected broker explained to MPA that deal writers who irregularly use a particular lender tend to have higher decline rates, as they’re not fully up to date with credit policies. This causes drawn-out processing times at an expense to the bank.
In a comment sent to MPA, Baber Zaka, CBA’s general manager third party banking, said: “Brokers play a critical role in helping Australians achieve property ownership. As the third-party channel grows, we are focused on deepening relationships with those who actively work with us to deliver a consistent, high-quality experience for customers.
“We regularly review broker accreditation as part of our governance and quality assurance, to ensure brokers are up to date with our products, policies and processes. This supports broker capability, smoother applications, more consistent service, and better customer outcomes.
“We are continuing to invest in the broker experience, including through enhancements to CommBroker and targeted support for Platinum brokers.
For Platinum brokers, this includes increased credit assessment support, one-day service level agreements and fully assessed pre-approvals, alongside continued investment in our Relationship Managers and operations teams."
