Commissions: How much do mortgage brokers get per loan?

[china]

I have been a customer of CBA since I was a child. I like their customer service at the branch and on their 24/7 phone service. I am also a shareholder, albeit minor.

However, I have never been asked to rate their service. One lady, who calls herself a banking specialist, rings me every time a term deposit expires to help me renew it. Similarly, I have been encouraged to ring up every three months to obtain a 1% bonus rate on my savings account. They usually call me back when promised. So I guess big thumbs up for CBA in maintaining close contact with its clientele.

 

[Brady]

It was, but if they want to be taking applications at the front counter (I was quite surprised at the personal stuff being asked in front of three strangers) and that leaves only one other staff member, they clearly need more staff.

The lady who looked after us initially, when we had to deal with the things required after the death of our mother knew her stuff, was fabulous, but she left soon after, and even the follow up of what she started was not done properly. Luckily we are both ex-CBA and have a bit of a clue how things should be done.

With this last episode of standing around like stale bottles of beer for at least ten minutes whilst some customers left in frustration at having nobody to serve them was pretty disappointing. I understand we have to wait our turn, but both clients being attended to had issues that were not quick, and I would not have dealt with them there at the counter when there were empty offices.

Perhaps it was because if they were both taken into an office, that left nobody at the front counter.

Yes agree at the branch Im based, any long applications etc are to be done in the office, front counter is for maintenance.

In your case we are requesting that customer ring the branch and book in times for deceased estates, loan applications, safe custody access etc because they aren't quick processes which need care and shouldn't be rushed. But this obviously can't always be done and you can't turn away clients.

My suggestion would be to get the name and number of the person who calls you next time and if you ever have something that you want done you will have a direct point of contact that you can book an appointment to see.

I tend to do this with just about every business I deal with now, I find I get better service as I'm dealing with the one person who I build a relationship with, helps with accountability as well.

 

[Marty McDonald]

Had to have a giggle the other day went into Cba branch and deposited a cheque. Had just got paid monthly commission and had had a recorded month whohoo to me.

Branch guy - "why don't you open a netbank business saver account".

Me - "nah thanks I don't usually hold much money in there if I have extra I put in an offset account".

Branch guy getting pushy - " but you can earn. 2.75% pa!"

Me - "yeah but I don't ever hold much cash in the account"

Brach guy - "your signature seems to have changed a bit since 1996. Would you mind going up to the front counter and updating your signature"

Me - "ok"

Branch girl - "why don't you open a business saver account, what do you do?"

Me- "no thanks, I'm in financial services"

Branch girl - "but you can earn 2.75% no fees. What do you do exactly"

Me - "I'm a mortgage broker"

Branch girl - "ohhh aren't you all a bit dodgey?"

Me - "well no i actually think branch lenders are more dodgey".

Branch girl - looks confused....pauses " you should hire a Chinese speaking broker".

Me - "yep good idea"

Branch girl - so do you want to open the business saver account"

Me- "we'll actually I'm here to update my signature but all right then".

Branch girl - "ok that's done and do t worry about the signature thing"

2 days later........I get a txt from branch girl...."hi Martin, please deposit some funds into the business saver account, thanks". Can only assume so she gets the benefit of an active new account? And I'm dodgey!!!!! Was hard sell from the moment I walked in!

 

[Aaron_C]

Marty - maybe the correct analogy is - people who work at Big 4 banks are the car salesman for the dealers, and brokers are the guys who work at the second hand car yards?

 

[Jamie M]

2 days later........I get a txt from branch girl...."hi Martin, please deposit some funds into the business saver account, thanks". Can only assume so she gets the benefit of an active new account? And I'm dodgey!!!!! Was hard sell from the moment I walked in!

lol - I called today to change my postal address for statements. Got offered the same thing as you- then asked about insurances, my LOC, if I wanted to update my credit card......no, no, no - please just update my postal address.

Cheers

Jamie

 

[Brady]

Had to have a giggle the other day went into Cba branch and deposited a cheque. Had just got paid monthly commission and had had a recorded month whohoo to me.

Branch guy - "why don't you open a netbank business saver account".

Me - "nah thanks I don't usually hold much money in there if I have extra I put in an offset account".

Branch guy getting pushy - " but you can earn. 2.75% pa!"

Me - "yeah but I don't ever hold much cash in the account"

Brach guy - "your signature seems to have changed a bit since 1996. Would you mind going up to the front counter and updating your signature"

Me - "ok"

Branch girl - "why don't you open a business saver account, what do you do?"

Me- "no thanks, I'm in financial services"

Branch girl - "but you can earn 2.75% no fees. What do you do exactly"

Me - "I'm a mortgage broker"

Branch girl - "ohhh aren't you all a bit dodgey?"

Me - "well no i actually think branch lenders are more dodgey".

Branch girl - looks confused....pauses " you should hire a Chinese speaking broker".

Me - "yep good idea"

Branch girl - so do you want to open the business saver account"

Me- "we'll actually I'm here to update my signature but all right then".

Branch girl - "ok that's done and do t worry about the signature thing"

2 days later........I get a txt from branch girl...."hi Martin, please deposit some funds into the business saver account, thanks". Can only assume so she gets the benefit of an active new account? And I'm dodgey!!!!! Was hard sell from the moment I walked in!

That's terrible.

If that was me I would be putting in a formal complaint.

People like this don't deserve jobs.

I get the discussion as you could have a need for the account as it is free and provides you interest and a lot of businesses prefer to keep personal clear of business so not putting it in the offset account...

But to actually proceed to open the account is just wrong.

 

[tobe]

wanna hear my branch story?

I save all my change in a tin. Got the kids to count it for me the other day, we are going to use it when we go to bali.

Anyway, between appointments, thought Id heft the bag into a branch and get it into notes.

After waiting in line, told there is now a machine to count it (which looked pretty awesome by the way), and I had to have a cba account or Id be changed a 10% fee. 10%!!!!!

I was a little bit miffed. Got talked into opening some stupid account with no fees, even after they had assertained;

I had insurance with Comminsure
I was guarantor on my wifes borrowings with CBA
I was co signatory to the wifes MAV credit card with CBA

All through the process their asking where my usual transaction account was, why dont I switch over to them etc etc.

So went through that rigmarol, then they explained I had to deposit the coins into the account, and then I can withdraw. One of the bags had been incorrectly counted, there was 10cents too much in one of the bags. Guess how much is left in my new CBA account?

I now know why 1 in 4 australians have a cba account. I guess less than 1 in 10 are active. Why is it so important to have new accounts opened? In my case it cost them more than they made, surely.


If only the upsell had some thought behind it. Instead of starting with 'you get charged a 10% fee to change coins' it should have been 'oh so your going on holiday? want to know what our currency conversion rates are?'

 

[wylie]

In your case we are requesting that customer ring the branch and book in times for deceased estates, loan applications, safe custody access etc because they aren't quick processes which need care and shouldn't be rushed. But this obviously can't always be done and you can't turn away clients.

I take your point and agree, but the thing we needed was a simple matter, took less than two minutes. Other times when we have needed things done regarding the estate, we have booked a time, but this was a simple branch procedure. We just couldn't see anybody because they were busy with long enquiries.

My suggestion would be to get the name and number of the person who calls you next time and if you ever have something that you want done you will have a direct point of contact that you can book an appointment to see.

I tend to do this with just about every business I deal with now, I find I get better service as I'm dealing with the one person who I build a relationship with, helps with accountability as well.

I do have his name and number and that is our plan if we need anything. Unfortunately as you know, he will likely be gone when we need him. Branch staff seem to disappear. I know from working there that this is the case, and building up a relationship is great... until they get a transfer or a promotion.

I don't want this to appear like I'm bank bashing, but it is frustrating, moreso because we both worked there for so long, and I know our focus was in customer service, and when it is lacking, it is frustrating.

Of course, Westpac, where hubby and I bank continually call to ask for hubby. I offer to discuss our accounts with them, knowing that will never happen. I am guarantor for over $1M in loans, and have pushed this line before and been accepted as being able to discuss the loans. When hubby is here, he says hello and says "can I hand you back to my wife now to discuss this". I understand the privacy stuff, but when I am personally a guarantor for over $1M, and statements are addressed to me as well (some of the loans), they don't seem to know if that means they can discuss anything with me. Only once have I got past the initial question, insisted that as guarantor I should be able to discuss our loans, and had a discussion. At one time, the ludicrous situation arose when they would discuss my/our loans with my husband or our loan broker, but not me .

I don't really care because when I want to discuss things, I make sure my husband identifies himself and then I take over. When they call, it is they who are hoping to "sell" us something so I let them waste their time.

 

[Aaron_C]

Branch staff seem to disappear. I know from working there that this is the case, and building up a relationship is great... until they get a transfer or a promotion.

That's exactly right. The good ones always get promoted (which is great) but it leaves their customers in the lurch.

 

[Brady]

wanna hear my branch story?

I save all my change in a tin. Got the kids to count it for me the other day, we are going to use it when we go to bali.

Anyway, between appointments, thought Id heft the bag into a branch and get it into notes.

After waiting in line, told there is now a machine to count it (which looked pretty awesome by the way), and I had to have a cba account or Id be changed a 10% fee. 10%!!!!!

I was a little bit miffed. Got talked into opening some stupid account with no fees, even after they had assertained;

I had insurance with Comminsure
I was guarantor on my wifes borrowings with CBA
I was co signatory to the wifes MAV credit card with CBA

All through the process their asking where my usual transaction account was, why dont I switch over to them etc etc.

So went through that rigmarol, then they explained I had to deposit the coins into the account, and then I can withdraw. One of the bags had been incorrectly counted, there was 10cents too much in one of the bags. Guess how much is left in my new CBA account?

I now know why 1 in 4 australians have a cba account. I guess less than 1 in 10 are active. Why is it so important to have new accounts opened? In my case it cost them more than they made, surely.


If only the upsell had some thought behind it. Instead of starting with 'you get charged a 10% fee to change coins' it should have been 'oh so your going on holiday? want to know what our currency conversion rates are?'

Tobe of course you get charged a fee, those machines are cheap. They need constant servicing (to make sure they aren't 10cents out )... they get a fair work out from existing customers.

It's not there as a free service to non bank customers, one might ask why you didn't go to your bank and use their coin machine? I haven't seen another bank that has a coin machine accept non-customers to use it without a charge.

It's important for you to have an account with the bank because you are using their services, they are trying to promote you to use the CBA account.

edit- also I believe there could be some laws around money laundering where people need to be identified. (Haven't been in a telling cell or handled cash in a while)


And agreed if they were aware of an overseas holiday, I would expect the staff here to talk about travel money card or some foreign currency.

 

[tobe]

Hi Brady,

a) I didnt want to use their machine, the money was all counted and bagged, they just needed to weigh it.
b) up until fairly recently banks would provide this service, to non account holders. they would also replace damaged notes etc. It was an add on to their role as a utility.
c) I was quite prepared to provide indentification.

I think its unfair you have to answer for all banks staff bashing that goes on here, and as you say, you are commenting here as an investor, rather than as an employee.

As an investor, wouldnt you have been impressed if the teller staff had actually suggested sales based on what you wanted rather than on what 'they had to'. ie. commission on exchange to rupiah rather than opening another useless account. If I had been told I could get a better exchange rate being a customer then I would have willingly signed up. As it was I was told Id pay 10% if I didnt. Its just simple sales, carrot and stick, find out the customers needs etc etc.

 

[Rolf Latham]

But to actually proceed to open the account is just wrong.

likely we all agree on that


What gets measured gets done ...................

ta
rolf

 

[Rolf Latham]

That's exactly right. The good ones always get promoted (which is great) but it leaves their customers in the lurch.

Its also a risk management tool.

ta
rolf

 

[Brady]

Hi Brady,

a) I didnt want to use their machine, the money was all counted and bagged, they just needed to weigh it.
b) up until fairly recently banks would provide this service, to non account holders. they would also replace damaged notes etc. It was an add on to their role as a utility.
c) I was quite prepared to provide indentification.

I think its unfair you have to answer for all banks staff bashing that goes on here, and as you say, you are commenting here as an investor, rather than as an employee.

As an investor, wouldnt you have been impressed if the teller staff had actually suggested sales based on what you wanted rather than on what 'they had to'. ie. commission on exchange to rupiah rather than opening another useless account. If I had been told I could get a better exchange rate being a customer then I would have willingly signed up. As it was I was told Id pay 10% if I didnt. Its just simple sales, carrot and stick, find out the customers needs etc etc.

Thanks Tobe but I don't have to answer for the bank bashing, I'm used to it... you guys are brokers after all

Only answer to the ones I can either help or provide some insight onto the otherside of the fence

a+b) using the machine or not exhanging money for non customers incurs a service fee, it may of not been previously charged but it should of been... This was the policy 5 years ago well before so many of the branches had the machines.

I'm not sure where you are going with this? If I was the branch manager I would expect the staff to have the same discussion around the opening of account with the bank (which by the sounds you did). You opened the account and used it, thats exactly what the bank want you to do, hopefully you still have the account and next time you want to use the coin machine you will say yes I have an account and use it...
And I would want them to have further discussion around your needs whilst traveling.

Why did you go to CBA to exchange the money? Why not the bank you bank with?

 

[Brady]

That's exactly right. The good ones always get promoted (which is great) but it leaves their customers in the lurch.

Or leave to become brokers

 

[tobe]

I went to cba cause it was close, usually I would have gone to my own bank.

The point Im trying to make is, in the branch the focus is only on sales, in its most elemental form. Sales is finding a need, and helping. Its not asking every customer whether they want fries with that, or telling every customer what they cant do.

There was no finding in this case, and the helping was done by way of coercion rather than being helpful.

 

[Spectre]

likely we all agree on that


What gets measured gets done ...................

ta
rolf

where have i heard that before??? lol!

 

[devank]

I can send you my credit guide if you like it has a per lender breakdown. Pm me.

Thank you!

 

[Spectre]

tobe why didnt you just skip opening the account, and leave rather than give away all the info the bank already had. It sounds like you had a roasting you could have skipped (?)

 

[tobe]

tobe why didnt you just skip opening the account, and leave rather than give away all the info the bank already had. It sounds like you had a roasting you could have skipped (?)

DO you know how heavy 1500 in change is? I wasnt skipping anywhere.