The Finance Brokers Association of Australia (FBAA) has welcomed the news that HSBC will return to the third-party channel and is looking forward to working closely with them on regulatory, industry and association related matters.

The FBAA’s Peter White said the broking sector now represents over half of all mortgages written in Australia, and smart banks recognise the advantages of working closely with finance brokers.

“We understand that all banks have their own marketing strategies but when the broking channel is ignored the bank misses out on the option of a huge slice of the market.

“Very few banks can afford this.”

Mr White said everyone wins when brokers have greater choice to offer borrowers.

“Brokers ensure that products are not unsuitable for each individual customer’s needs, so not only does the bank have the opportunity to present its products, but customers win from greater choice.”