Mortgage borrowers prefer branches to brokers
Home loan borrowers who arranged their loans at a bank branch report higher satisfaction levels than borrowers who used a mortgage broker, new research confirms.Roy Morgan Research reports that 77.2 per cent of borrowers who went to a branch were "very or fairly satisfied", while 75.1 per cent of those who used a mortgage broker were satisfied.The highest satisfaction rating, at 80.6 per cent, was found among borrowers who dealt in person with a mobile bank representative.Roy Morgan's figures contradict one of the arguments being put forward by the mortgage broking industry in its campaign to fend off implementation of the Hayne royal commission recommendation that commissions paid by lenders to brokers be scrapped.The industry says it has very high customer satisfaction levels, which indicates that consumers fund the service more valuable than going to a bank.Roy Morgan found that among home lenders, Bendigo Bank, St George Bank, Suncorp Bank, and ANZ had the best branch ratings.Roy Morgan's figures also contradict the industry's claims about its market share, which it says is approaching 60 per cent. According to the Roy Morgan survey, only 33.4 per cent of mortgage borrowers sourced their loan through a broker.