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Getting Started

Getting Started

Brokers may find their way to broking via many different paths, but once they get here there are a few key steps every broker needs to take to get started.

Finance and mortgage brokers help borrowers navigate their way through the loan application process and ensure they get the right deal for their situation. Every borrower has unique requirements and brokers have access to a wide range of loan product information, allowing them to compare the features of each loan and find the loan that best fits the borrower.

A broker will help the customer to determine how much they can borrow, how much deposit they will need and what their repayments will be. Once the customer is happy that they are getting the right deal for them the broker will then gather all of the required information and submit the loan on the customer’s behalf.

If you’re interested in launching your new career, we’ve outlined the key steps to becoming a broker.

Becoming a broker does require education. The minimum qualification to enter the finance broking industry is to complete a Certificate IV in Finance and Mortgage Broking (FNS40821). This training is available through TAFE and many private providers, including AAMC.

While FBAA only requires that finance brokers complete the Cert IV qualification as a minimum, some other broking groups or aggregators require you to hold a Diploma of Finance and Mortgage Management (FNS50322).


  • Certificate IV in Finance and Mortgage Broking (FNS40821) or equivalent to current Finance Industry Standard
  • Diploma of Finance and Mortgage (FNS50322)

Our industry deals with people’s sensitive financial information, and therefore finance and mortgage brokers need requisite checks to ensure we are financially sound and not criminals.

Aspiring brokers must complete:

  • Full Credit Report including Bankruptcy Report in full, legal name (must be current, no more than one month old)
  • National Police Check in full, legal name (check must current, no more than two months)
  • Obtain 4 (four) professional/personal references

Joining an aggregator is not a legal requirement, however, aggregators can make a broker’s life easier. Aggregators provide you with a suite of lenders, software to help you compare loan products, CRM software to help you manage your client relationships, compliance advice, training, the ability to write loans under their credit licence and commission management. You can clearly see the benefits an aggregator delivers to brokers.

Each aggregator has their own on-boarding process and requirements. Don’t be afraid to shop around for an aggregator that’s right for you.

Once you’ve started the on-boarding process, your aggregator may issue you with a Letter of Intent. This letter can be provided to AFCA and FBAA to show that you are in the process of joining with that aggregator. 

When setting up your business, you should consult your accountant to ensure you structure your business to meet your purpose and goals. The FBAA members area includes tips and tools for setting up your business.

Set up your business:

  • Choose a business name
  • Apply for an ABN
  • Register to PAYG tax, superannuation and GST
  • Purchase a website domain (if you are not joining a franchise)
  • Promotional and marketing material

All brokers provide credit assistance and as such are required to be a Credit Representative (ACR) of an Australian Credit Licence (ACL) holder, or hold your own ACL.

To achieve this, you have two options:

Business can be a bumpy ride and there may be times when things don’t go as smoothly as you intend. Protect your business and reputation with external dispute resolution membership with the Australian Financial Complaints Authority (AFCA). AFCA is an ombudsman that customers can use to make complaints about financial services they’ve received.

If a legal claim is made against you based on the service you provide, Professional Indemnity (PI) insurance can help cover the associated legal costs. It is an ASIC requirement for brokers to hold appropriate PI insurance. For brokers that means PI insurance for no less than $2 million for any one claim and $2 million in the aggregate and minimum run-off cover.

Protect yourself:

  • More info about AFCA membership is on their website
  • Many insurance providers offer Professional Indemnity Insurance. Your aggregator may hold a group policy you can join. FBAA recommends Insurance Advisernet

To ensure all practising brokers are compliant and uphold the integrity of the industry, all brokers whether using aggregators or part of a franchise are encouraged to join an industry association. The FBAA is one such organisation, and the leading advocacy body for brokers. We are an important source of advice, support and ongoing education.

While not an ASIC requirement, many aggregators and lenders will require you to be a member of an industry association like FBAA.

Join FBAA:

If you’re new to the industry, you will need a mentor to help guide you during your first two years as a broker. There are many ways to find a mentor, in fact you may already know a broker who has minimum four years’ experience in broking, and is willing to mentor you. If you join a franchise you may have access to an internal mentor program.

You can also access a private mentor by searching our mentor directory.

It’s important to keep in mind that many mentors will charge for their services. This may be a flat fee, or a portion of your commission. Like aggregators, it’s important to shop around and make sure that you and your mentor are a good fit for each other.

Mentor directory:

FBAA Compliance Fundamentals Training

The FBAA Training Centre is part of the Finance Brokers Association of Australasia Limited education programme. The FBAA has formed a strategic alliance with the AAMC Training Group to be the education provider to the FBAA for its range of courses. 

Our consultation with industry revealed that many new finance brokers require more support in understanding the risks associated with key areas such as privacy, fraud, ethics and conduct. 

In recognising the importance of enhancing the education requirements of our new to industry brokers, we are now expecting them to complete the FBAA Compliance Fundamentals Training. 

This course will ensure the procurement of integral knowledge which effects all brokers including; 

  • Australian Privacy Act - covers the 13 Australian Privacy Principles which set out the standards, rights and obligations for the handling, holding, use, access and correction of personal and sensitive information;
  • FBAA Code of Conduct - the Finance Brokers Association of Australasia Limited. (FBAA) Code of Practice is intended to promote good relations between FBAA Finance Broker members, their clients, credit providers and others involved in the finance industry. The code covers 10 principals and objectives to ensure that members provide good standards of practice that are imperative to act ethically and responsibly when dealing with clients;
  • FBAA Anti-Money Laundering & Terrorism Financing (AML/CTF) - provides an overview of anti-money laundering and counter terrorism financing. The “Anti-Money Laundering” section describes the legal obligations of financial institutions and other regulated entities to prevent or report money laundering activities. The Counter-Terrorism Financing section describes the legal obligations of financial institutions, other regulated entities and residents of Australia to prevent, report and interdict the financing of terrorists, terrorist organisations and terrorism events;
  • Credit Fraud Awareness - the cost of fraud in Australia can add up to millions of dollars, as well as negative press and enforcement actions. Therefore, it’s imperative to be more diligent and look for inconsistencies in credit application supporting documentation. This module covers key topics such as; the common fraud types, fraudulent non-disclosure, ways to manage fraud in your business, the impacts of fraud and ways to protect your company and yourself from fraud;
  • Banking Code of Practice: Financial Abuse Awareness Education - provides information about the Banking Code, the key provisions that relate to mortgage brokers and guidance to help you better identify potential financial abuse.

Price: RRP $434.30 (members $198 inc GST) 

CPD Hours: 9 hours 


*This training is completed by all new to industry brokers. Should your training requirements differ, or you are unsure about which training course to purchase, please contact the FBAA for guidance.

Why is training compulsory?

It covers key areas to support new to industry broker member’s knowledge of what could potentially present major risks to their business.

FBAA Membership Terms & Conditions

New to industry members joining the FBAA from Monday 4th December 2018 must have completed the FBAA Compliance Fundamentals training.