The Finance Brokers Association of Australia (FBAA) believes the three-month period set aside for submissions on the Australian Securities and Investments Commission (ASIC) report into mortgage broker home loan remuneration is far too long.
Interested parties have until June 30, 2017 to give their feedback to the Treasury Department.
“This is a poor outcome and the length of time is completely unnecessary,” said FBAA executive director Peter White.
“Six to eight weeks would be more than enough time to get it done.
“This extracted period only creates longer industry angst as we wait for a conclusion of outcomes and progression of discussions.”
The association also believes that the federal government has erred in tasking Treasury with accepting submissions, suggesting that it is the wrong department to deal with them.
“This should have been put back into the hands of ASIC to progress industry stakeholder discussions, as they are far more informed about the industry and the current remuneration issues,” continued Mr White.
“The government needs to ensure they do not destroy small business confidence by engaging poor processes that create no additional benefit for regulatory outcomes.”
He said bringing Treasury into the mix at the last minute creates more unnecessary work for the industry.
“ASIC, not Treasury did the review, so Treasury has no base or depth of knowledge of the 27-year plus history of finance broking as ASIC now has.”