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ISCOVER
Staff Reporter
Brokers who want to service the low doc market, but don’t feel comfortable doing so, have been given a free pass from one lender.
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This week Pepper Home Loans launched a new referral program that allows brokers not prepared to handle low doc and non-conforming loans the opportunity to service these clients.
Speaking about the new initiative, Pepper’s director of sales and distribution Mario Rehayem said brokers can refer their low doc clients onto a specialist within Pepper and receive a referral fee in the process.
“In the past, many brokers have typically turned these clients away. They were either too time poor or uncomfortable writing this type of business because they lacked the specialist knowledge that’s required. The business just walked out the door,” he said.
“But under this scheme, which has just been launched, these brokers can now refer the clients to Pepper, a specialist in this area.”
“Although brokers do not get a trail from this business, they do get a referral fee and, more importantly, the opportunity to have business dealings with the client in the future. In other words, a non-conforming or low doc loan is a one-off for Pepper."
The new initiative is currently offered to all Vow Financial brokers – something the aggregator is very proud of.
“This is a perfect opportunity for all our brokers to protect all of their client needs, and adds to the strong referral partnerships already in place,” Vow chief executive Tim Brown said.
“Vow and Pepper believe this is an important innovation that will help brokers both keep and attract clients. There’s nothing worse for a broker than telling a client he can’t handle their business. Now they don’t have to.”
