BRISBANE, Queensland – The top-rated financial services aggregator updates its classification and criteria on identifying top mortgage brokers’ rankings, shifting its focus to customer satisfaction.
The Loan Market Group announced an overhaul of the previous broker ranking metrics it followed to become more customer satisfaction-based. Currently, the group operates both for the Australian and New Zealand market, employing approximately 210 people. The Loan Market Group functions as a provider of mortgage and insurance broking services. Customers can access loan comparisons operated by hundreds of loan brokers worldwide using this platform.
This aggregator’s loan types include home loans, car loans, personal loans, investment loans, and many others. Loan Market covers over 500 mortgage brokers within Australia, making it one of its biggest financial service providers.
The aggregator has gained a 95 per cent customer satisfaction rating in LinkedIn Australia, proving the quality and the customer-based value of the group. The group advocates focusing on this value and has recently announced integrating it into how Loan Market determines its mortgage broker rankings.
In recent reports, Loan Market now uses a different metric system in its Awards and Recognition Program that ranks its brokers in four: Premier, Elite, Platinum Elite, and Chairman’s Club. In the new ranking system, mortgage brokers will not be assessed through the business value they generate. Instead, rankings will now be more dependent on the number of loans settled together with customer satisfaction ratings.
There will be a minimum requirement of closed customer loans and minimum ratings to qualify for each rank. For example, to qualify for the Premium line-up, mortgage brokers have to close at least 75 deals in a year. As given, as the rankings go up, the required number of settled loans also increases. Aside from settled deals, customer satisfaction is also a key contributing requirement. All customer transactions will be assessed and audited, and brokers should pass the minimum customer service satisfaction.
Furthermore, customer loan transactions will no longer counter individually per customer. Rather, the number of total loans settled will already be the basis. As an example, a broker who settled two deals that include a personal loan plus a car loan to a single customer will already be entitled to two counts of settled loans in this category. It will be the same method for additional services. For example, each service will be counted for the same person, even if the customer only added utility connections and wealth planning to its original and base insurance plan.
According to Loan Market, this move has to be the biggest development its Awards and Recognition Program has seen in years. The brokerage is particular in aligning its services to the incoming Best Interest Duty (BID) obligations as legislated by the Australian Parliament.
BID is a legislative requirement that requires financial services that include financial advisers or brokers to serve what is best for their clients. This act revolves around focusing on the welfare of every Australian accessing financial services. The BID obligation is further rectified in the latest National Consumer Credit Protection Amendment or Mortgage Brokers Bill of 2019.
Although the Australian Securities and Investments Commission declared this bill’s implementation delayed further to 2021, Loan Market has already started making modifications to its system concerning this bill. The group’s executive director, Andrea McNaughton, highlighted that these early changes are not only in preparation for the BID but also to highlight the group’s values. She added that the Awards Program’s changes highlight the customer relationship its brokers build through these brokers’ services.
According to her, the group wants to give further emphasis to the welfare of its customers as they are the primary reasons why the company and its group of brokers exist. Loan Market ensures that this value is evident in all of its services, even in the ranking of the brokers it employs.
Furthermore, Loan Market is known to be a family-owned business reputed for putting people first. Thus, the amended ranking system will now rate its brokers not by the amount or value they generate through the loans they settled but ultimately, in the number of people they could help.
It can be remembered that this is not Loan Market’s first move in improving its financial services to align with the upcoming Mortgage Brokers Bill. Earlier this month, the group has also expanded its compliance team by making two significant additions to the group. At present, the Loan Market compliance team is being led by a Senior Manager of Risk Transformation Kali Jurkschat and Head of Compliance and Operations William Jewitt.
Ms Jurkschat has an extensive fintech background as a previous business development lead of UBank. According to Chief Compliance and Regulation Officer David McQueen, this addition to the company will generate a better-blended experience using lender technology and heightened customer satisfaction.
On the other hand, Mr Jewitt was a former business development manager at Westpac, one of Australia’s big four banks. His expertise is expected to be useful for data management and AI audit opportunities to achieve a safe and efficient business, as also believed by Mr McQueen.
These changes on the Loan Market systems are created to “unify” the group’s operations and brokers’ processes in compliance with the upcoming BID.
The implementation of the BID amendments, otherwise known as the Mortgage Brokers Bill of 2019, was initially set in July of this year but is now pushed to 2021.