Powered by MOMENTUM MEDIA
subscribe to our newsletter

Bank reveals new rates and commission structure

Australia’s latest third-party lender had revealed its expansion plans into the third-party channel and detailed its competitive commission structure.

The Bank of Sydney has commenced a pilot launch with a number of boutique aggregators and is in discussion with larger players in anticipation of a full launch early next year.

As revealed by Mortgage Business in August, the lender rebranded as the Bank of Sydney in May last year and is gaining momentum ahead of its full launch into the broker channel under the consultancy of third-party specialist Steve Sampson.

Speaking to Mortgage Business, Mr Sampson said that he wants to show mortgage brokers that their intention is to support the third-party channel with competitive interest rates and fees and a fair clawback policy.

“We have come to the market with a mandate of a fair deal for everyone,” he said.

Advertisement
Advertisement

PROMOTED CONTENT


Borrowers will benefit from a 1.69 per cent discount off the bank’s standard variable rate for the life of the loan, which currently equates to 4.69 per cent per annum.

“We offer a free 100 per cent offset account and an annual fee-free credit card,” Mr Sampson said.

“We’ll also give the customer a $500 cashback on the package after they settle,” he said. “Standard application fees and standard valuation fees are covered too.”

Bank of Sydney is paying an upfront commission of 0.70 per cent and a trail of 0.20 per cent from day one.

“We’ve also listened to what ‘irks’ brokers and one of their major ‘gripes’ is clawback provisions after all the hard work has been done,” Mr Sampson said.

“To this end we think we have one of the fairest clawback policies in the market at 70 per cent of the upfront in year one only,” he said.

Mr Sampson said that the pilot is taking shape and giving the bank an opportunity to test its online lodgment platform.

Bank reveals new rates and commission structure
mortgagebusiness

Latest News

The Victorian Government will deliver “an historic” $5.3 billion Big Housing Build to construct more than 12,000 new homes throughout me...

A “more optimal” retirement income system would involve retirees “more effectively” drawing on home equity to fund their standard of...

Non-major lenders continue to be the more highly rated lenders used by brokers for both turnaround times and policy, according to the lates...

FROM THE WEB

Join a group of highly informed brokers.

Broker Pulse, a community-driven knowledge base of lender performance Reveal exactly which lenders are making life easiest for brokers and their clients by taking this monthly survey and joining a group of highly informed brokers who leverage these insights every month.

JOIN NOW
podcast

LATEST PODCAST: Responsible Lending - what could lie ahead for lenders brokers and borrowers?

Do you expect to see strong uptake of the HomeBuilder scheme?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.