With the Australian Securities and Investment Commission (ASIC) continuing its fact finding mission, brokers are being urged not to panic or feel threatened if they are asked to provide data and sensitive information.
Peter White from the Finance Brokers Association of Australia (FBAA) is being kept up to date as the corporate regulator begins to collate data from brokers from all over Australia as part of its ongoing review.
“I met with ASIC’s team last week and was told notices to brokers will be served by the end of June but the number of brokers asked to provide information will be much less than both lenders and aggregators.”
Mr White says ASIC remains vague on what specifics and the type of data they are seeking but it is clear the review will be focussed on ‘drilling down on the borrower profile and how commissions are paid throughout the broker value chain.”
“I have it on good authority that there could be millions of transactions involved in the fact find from a lenders and aggregators perspective but as far as brokers are concerned, the number of deals to be looked at is far, far less and does not even reach four figures.”
Mr White has been told ASIC will make themselves available to those brokers selected so they can assist them in the process.
“Brokers should not be alarmed if they are served a notice as selections are entirely random.”
He said any brokers or anyone else in the industry with concerns can contact the FBAA.