Brokers turn to non-bank lending amidst market shifts

We speak to Pepper Money’s General Manager Mortgages and Commercial Lending, Barry Saoud to uncover how brokers can collaborate with non-banks to fill the gap left by traditional lending.

With the speed and impact of the shifting lending landscape, and the increased cost of living, some borrowers are now needing the flexibility that non-banks like Pepper Money can offer.

We speak to Pepper Money’s General Manager Mortgages and Commercial Lending, Barry Saoud to uncover how brokers can collaborate with non-banks to fill the gap left by traditional lending.

Do you see a growing demand for non-bank lending in the Australian market?

“Absolutely. It goes without saying that the past few years have been challenging for Australian borrowers. Borrowers are increasingly seeking out a solution that suits their real life circumstances and a lender that offers flexibility.”

This is where the continued collaboration of brokers and non-bank lenders like Pepper Money is imperative says Saoud. 

“Non-bank lenders aim to help borrowers who fall outside of the traditional lenders’ ‘prime’ parameters - which as we’ve seen over the years are an ever-changing cohort. It’s not limited to people who have had a credit event. Investors, the self-employed and families, to name a few, are all potential customers who can achieve their goals through a specialist lender.”

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“We’re also seeing the credit needle shifting – what was considered ‘bankable’ 12 months ago is increasingly moving into the non-bank space,” he says. 

“It’s important that we encourage borrowers to have the confidence to seek out and consider their options when looking for a loan solution. They need to know there are alternative flexible finance options to explore beyond traditional banks. That’s why non-banks like Pepper Money were created.”

Brokers play a critical role in presenting their customers with options says Saoud: “The valuable guidance an experienced and diversified broker can provide in these instances is vital and will ensure the customer gets a range of solutions from different lenders.

“That’s why we continually work to make non-bank lending easy for brokers. Our best-in-class service, optimised technology, market leading turnaround times and innovative loan options mean our broker partners are well equipped to help their customers succeed.”

Do you have an example where non-bank lending helped in the current market?

“It’s no secret that affordability continues to be front of mind for customers, with the rise of interest rates, changing lending criteria, and cost of living pressures.

“We recently worked with a broker to help reshape a passionate new business owner’s financial situation, saving her thousands per month.

“After recently establishing her art supplies business, the customer was looking to reduce her costly high-rate loans and free up cashflow to put towards the business.

“Despite running a successful venture and having a clean credit history, her 18-month-old business, incomplete tax returns and five debts to consolidate, narrowed her options with traditional lenders.

“Fortunately, the customer got in touch with a diversified broker accredited with Pepper Money. After reviewing her requirements, it became clear that an alternative lender could meet her needs. He presented her with a couple of options, and she chose to apply for a Pepper Money home loan.  

“Our credit team reviewed the application, and we were able to provide conditional approval for a Specialist Alt Doc home loan option the same day. Through this option we were able to verify her income using a declaration of financial position and a Pepper Money accountant’s letter.

“With the broker’s help and the funds from Pepper Money, the customer was able to refinance her debts into a single repayment, saving her over $6,000 per month and allowing her to put more time and energy into her business.”

Does specialist lending remain a core focus for Pepper Money?

“Pepper Money has loan options for all sorts of people and businesses, from blue collar to blue chip. Whatever the circumstances, we take a uniquely flexible human approach, assessing each person’s situation individually; from the growing self-employed market to people with different types of income, those recovering after a life event or building a property profile. Helping people succeed is at the heart of what we do.”

If you have a customer you believe may need an alternative home loan solution, contact your Pepper Money BDM or the dedicated Scenarios Team today. 

Alternatively, with your customer’s consent, you can run a home loan scenario through the Pepper Product Selector tool which could find your client’s fit within minutes.  

Talk to Pepper Money today 

1800 737 737 

This case study is not a testimonial and is provided for educational purposes only.

It is not a substitute for professional advice. Outcomes will vary depending on

individual circumstances.


Before using Pepper Product Selector, it is important to ensure you have received your customer’s written consent to act on their behalf as an Access Seeker. 

Applications are subject to credit assessment, eligibility criteria and lending limits.

Terms, conditions, fees and charges apply.


Information provided is factual information only and is not intended to imply any

recommendation about any financial product(s) or constitute tax advice. If you

require financial or tax advice you should consult a licensed financial or tax adviser.

© Pepper Money Limited ABN 55 094 317 665; AFSL and Australian Credit Licence

286655 is the servicer of home loans provided by Pepper

Finance Corporation Limited ABN 51 094 317 647. Pepper and the Pepper Money logo are registered trademarks of Pepper Group Assets (Australia) Pty Limited and are used under licence.


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