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Jessica Darnbrough
Proving competition is alive and well in the mortgage lending space, new data has shown brokers are embracing their aggregators’ white label product with both hands.
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Speaking to The Adviser, Advantedge’s general manager of distribution Brett Halliwell said the wholesale funder had enjoyed rapid growth across its suite of white label products.
“Across our three brands, FASTLend, ChoiceLend and PLAN Lending, we have seen a 50 per cent spike in our book,” Mr Halliwell said.
“This is extremely pleasing especially when you compare it against system growth – which is approximately 5 per cent.”
And this growth rate could be set to climb even higher after the group announced yesterday that it was cutting the interest on its variable rates by 3 basis points.
From today onwards, ChoiceLend, FASTLend and PLAN Lending will offer full doc variable rates that start from 5.58 per cent.
Mr Halliwell said white labelling had really “come of age” this year, attributing much of the growth to enhanced broker comfort.
“While there is no doubt our products are meeting the demands of consumers, I think brokers are starting to get their head around white labelling more, which is ultimately leading to enhanced volumes in this area,” he said.
“Brokers are also seeing the benefits in writing white label products. They know the service is exceptional, the loans can be processed quickly and the commissions are generous.”
Mr Halliwell said FASTLend, ChoiceLend and PLAN Lending currently pay brokers 70 basis points in upfront commission and 15 basis points in trail – slightly higher than market average.
