Technology provider Decimal expects its new cloud-based platform to influence the number of mortgage brokers obtaining an AFSL in the future.
Decimal founder Jan Kolbusz told Mortgage Business that for most brokers and financial planners, getting involved in technology has been a road strewn with pain, cost, tears and disappointment.
“In this day and age, technology should be able to play a much different role in reducing the cost in orders of magnitude and making life much simpler to get advice out to the normal consumer,” Mr Kolbusz said.
“The reason why the business world is getting excited about cloud is because it simultaneously makes it so much easier for people to do stuff,” he said.
“The ability to bring on that technology is equally easier, because you are not installing anything. You basically just turn it on and you’re paying a subscription for it.”
With these ingredients, Mr Kolbusz has launched a cloud-based solution that allows mortgage brokers to provide insurance without the headache of new, complex information systems.
“With the mortgage brokers that we have talked to, we have found that it is so difficult to give insurance advice because of the overheads, whether it is bringing on-board a system, the compliance cost, and brokers struggle with that because from a commercial perspective it’s very hard for them. But also they know it is a bit of an issue because they have just sold someone a mortgage and the person is walking away most likely uninsured,” he said.
“As a very important early channel for us, the ability for a mortgage broker with an AFSL to simply turn on our technology, literally configure it in a very short space of time, and being able to give advice to someone on the spot in or around or during the process is such an effective manifestation of what we have built.”
Mr Kolbusz said that if things go to plan he expects to influence the notion of a mortgage broker obtaining an AFSL.