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By: Belinda Luc
A slim majority of mortgage brokers have opted to apply for their own Australian Credit Licence (ACL) according to a recent industry poll.
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According to The Adviser’s latest weekly straw poll, 57.3 per cent of the 445 respondents surveyed said they plan to become an ACL holder when the licensing application period opens on 1 July 2010.
Meanwhile, 29.7 per cent will opt to be an authorised representative of an ACL holder, while 13 per cent of respondents remain unsure.
While the decision might be down to individual business choice, the types of options offered by aggregators have also helped to influence what decision brokers make in terms of becoming an authorised representative or holding their own ACL.
Chief executive officer Drew Hall told The Adviser that the company plans on giving its brokers an option as to whether they want to become an ACL holder or be an authorised representative of Advantedge.
Meanwhile, Vow Financial chief operating officer Steve Lambert has said the hybrid arrangement that will be offered by the company will let brokers maintain their own independence, should they wish to obtain their own ACL.
“If brokers want to apply for their own ACL, we’ll support them in that process,” Mr Lambert told The Adviser.
“However, brokers can, subject to a set of criteria, become an authorised representative of Vow Financial, which will hold its own ACL,” he said.
Brokers who are registered with ASIC by 30 June 2010 will have six months to apply for an ACL between 1 July 2010 and 31 December 2010.
