{"id":507,"date":"2021-09-29T00:42:36","date_gmt":"2021-09-29T00:42:36","guid":{"rendered":"http:\/\/blog.effi.com.au\/blogs\/?p=507"},"modified":"2021-09-29T00:42:36","modified_gmt":"2021-09-29T00:42:36","slug":"upcoming-mortgage-broking-changes-for-october-2021","status":"publish","type":"post","link":"http:\/\/13.210.238.202\/blogs\/2021\/09\/29\/upcoming-mortgage-broking-changes-for-october-2021\/","title":{"rendered":"Upcoming mortgage broking changes for October 2021"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">There\u2019s a next wave of regulatory changes commencing early October that brokers will need to understand and take necessary actions to remain compliant.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">We\u2019d like to outline six new laws that will come into effect to expand obligations for brokers and the financial services industry.<\/span> <span style=\"font-weight: 400;\">These include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"https:\/\/asic.gov.au\/about-asic\/news-centre\/find-a-media-release\/2021-releases\/21-180mr-asic-releases-reference-checking-and-information-sharing-protocol-for-financial-advisers-and-mortgage-brokers\/\"><span style=\"font-weight: 400;\">Reference checking<\/span><\/a><span style=\"font-weight: 400;\"> and information-sharing requirements \u2013 starting 1 October<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"https:\/\/asic.gov.au\/about-asic\/news-centre\/find-a-media-release\/2021-releases\/21-080mr-asic-consults-on-draft-guidance-on-breach-reporting-reforms\/\"><span style=\"font-weight: 400;\">Breach reporting<\/span><\/a><span style=\"font-weight: 400;\"> and the \u201cnotify, investigate and remediate\u201d obligations \u2013 starting 1 October<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"https:\/\/asic.gov.au\/about-asic\/news-centre\/find-a-media-release\/2020-releases\/20-320mr-asic-releases-regulatory-guide-on-product-design-and-distribution-obligations\/\"><span style=\"font-weight: 400;\">Design and distribution obligations<\/span><\/a><span style=\"font-weight: 400;\"> (DDO)\u2013 starting 5 October<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"https:\/\/asic.gov.au\/about-asic\/news-centre\/find-a-media-release\/2021-releases\/21-189mr-asic-releases-guidance-and-customer-information-requirements-to-implement-the-new-add-on-insurance-deferred-sales-model\/\"><span style=\"font-weight: 400;\">Deferred sales model for add-on insurance products<\/span><\/a><span style=\"font-weight: 400;\"> \u2013 starting 5 October<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"https:\/\/asic.gov.au\/about-asic\/news-centre\/find-a-media-release\/2020-releases\/20-171mr-asic-releases-final-updated-guidance-on-complaints-handling\/\"><span style=\"font-weight: 400;\">Internal dispute resolution<\/span><\/a><span style=\"font-weight: 400;\"> \u2013 starting 5 October<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"https:\/\/asic.gov.au\/about-asic\/news-centre\/find-a-media-release\/2021-releases\/21-181mr-asic-consults-on-draft-guidance-for-the-hawking-reforms\/\"><span style=\"font-weight: 400;\">Hawking reforms<\/span><\/a><span style=\"font-weight: 400;\"> \u2013 starting 5 October<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">This has come as part of the government\u2019s response to recommendations from the Hayne Royal Commission into Misconduct in the Banking, Superannuation and Financial Services industry.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Australia\u2019s leading aggregator Connective believes great preparation for the incoming laws for brokers to succeed is essential. Here are all the <\/span><a href=\"https:\/\/support.connective.com.au\/hc\/en-us\/sections\/360000077627-All-Connective-Members\"><span style=\"font-weight: 400;\">resources<\/span><\/a><span style=\"font-weight: 400;\"> from Connective that you might find useful.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cAlthough the changes for brokers are not as significant as what the industry had to adapt to with best interests duty, brokers need to get ready ASAP, because these new laws are on our doorstep.<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cBrokers have had to adapt to such a volume of change and disruption in the last 18 months, which has been consuming. So, we want to shine a spotlight on these latest new laws to make it as easy as possible for brokers to ensure they are compliant.\u201d<\/span><\/p>\n<h2><b>MFAA and Connective\u2019s responses<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Additionally, Connective has been working with the Mortgage &amp; Finance Association of Australia (MFAA) and the goal is \u201cto push for the best outcome for the industry\u201d. Following the industry feedback, the government will <\/span><a href=\"https:\/\/www.theadviser.com.au\/breaking-news\/41894-treasury-to-amend-ddo-requirements\"><span style=\"font-weight: 400;\">change DDO requirements for brokers<\/span><\/a><span style=\"font-weight: 400;\">. <\/span><span style=\"font-weight: 400;\">MFAA chief executive Mike Felton provided a<\/span> <a href=\"https:\/\/vimeo.com\/582312853?fbclid=IwAR02jjZe-8Jq6iYy6rPccayZlsiGW30p_ASXadgcGU0Xz9UmAr0JtDGbdAo\"><span style=\"font-weight: 400;\">video update<\/span><\/a><span style=\"font-weight: 400;\"> back in August.\u00a0<\/span><\/p>\n<h2><b>Brokers would be wise to demonstrate efforts to comply\u00a0<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Accordingly, the Australian Securities and Investments Commission (ASIC) said it will take a <\/span><a href=\"https:\/\/asic.gov.au\/about-asic\/news-centre\/find-a-media-release\/2021-releases\/21-213mr-asic-s-approach-to-new-laws-reforming-financial-services-sector\/\"><span style=\"font-weight: 400;\">\u201creasonable approach\u201d <\/span><\/a><span style=\"font-weight: 400;\">when enforcing the new laws the Government has passed. Under the current challenging environment, ASIC is well aware that the implementation of these changes all at one time will present a major challenge to industry participants.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cWe therefore recognise there will be a period of transition as industry finalises implementation of additional compliance measures, and ASIC will take a reasonable approach in the early stages of these reforms provided industry participants are using their best efforts to comply.\u201c ASIC Chair Joe Longo said.\u00a0<\/span><\/p>\n<h2><b>Regulatory Changes Rundown by Loan Market<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The Loan Market Group also held a webinar to discuss the changes during which its executive director Sam White stated that aggregators should be more involved in \u201cinfluencing and helping legislators in shaping their view on regulation\u201d. Here\u2019s a <\/span><a href=\"https:\/\/www.loanmarket.com.au\/state-of-play\/news\/your-reg-changes-rundown\"><span style=\"font-weight: 400;\">takeaway<\/span><\/a><span style=\"font-weight: 400;\"> from the webinar. He believes aggregators should play a part in creating new rules and adding some structure and processes around the regulations moving forward.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Please stay tuned for more updates about the new laws in the coming weeks.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>There\u2019s a next wave of regulatory changes commencing early October that brokers will need to understand and take necessary actions to remain compliant.\u00a0 We\u2019d like to outline six new laws that will come into effect to expand obligations for brokers and the financial services industry. These include: Reference checking and information-sharing requirements \u2013 starting 1 &hellip;<\/p>\n<p class=\"read-more\"> <a class=\"\" href=\"http:\/\/13.210.238.202\/blogs\/2021\/09\/29\/upcoming-mortgage-broking-changes-for-october-2021\/\"> <span class=\"screen-reader-text\">Upcoming mortgage broking changes for October 2021<\/span> Read More &raquo;<\/a><\/p>\n","protected":false},"author":6,"featured_media":508,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":""},"categories":[3],"tags":[],"jetpack_featured_media_url":"https:\/\/i1.wp.com\/13.210.238.202\/blogs\/wp-content\/uploads\/2021\/09\/Regulation-compliance-540x432-1.jpeg?fit=540%2C432","uagb_featured_image_src":{"full":["https:\/\/i1.wp.com\/13.210.238.202\/blogs\/wp-content\/uploads\/2021\/09\/Regulation-compliance-540x432-1.jpeg?fit=540%2C432",540,432,false],"thumbnail":["https:\/\/i1.wp.com\/13.210.238.202\/blogs\/wp-content\/uploads\/2021\/09\/Regulation-compliance-540x432-1.jpeg?resize=150%2C150",150,150,true],"medium":["https:\/\/i1.wp.com\/13.210.238.202\/blogs\/wp-content\/uploads\/2021\/09\/Regulation-compliance-540x432-1.jpeg?fit=300%2C240",300,240,true],"medium_large":["https:\/\/i1.wp.com\/13.210.238.202\/blogs\/wp-content\/uploads\/2021\/09\/Regulation-compliance-540x432-1.jpeg?fit=540%2C432",540,432,true],"large":["https:\/\/i1.wp.com\/13.210.238.202\/blogs\/wp-content\/uploads\/2021\/09\/Regulation-compliance-540x432-1.jpeg?fit=540%2C432",540,432,true],"1536x1536":["https:\/\/i1.wp.com\/13.210.238.202\/blogs\/wp-content\/uploads\/2021\/09\/Regulation-compliance-540x432-1.jpeg?fit=540%2C432",540,432,true],"2048x2048":["https:\/\/i1.wp.com\/13.210.238.202\/blogs\/wp-content\/uploads\/2021\/09\/Regulation-compliance-540x432-1.jpeg?fit=540%2C432",540,432,true],"jetpack-portfolio-admin-thumb":["https:\/\/i1.wp.com\/13.210.238.202\/blogs\/wp-content\/uploads\/2021\/09\/Regulation-compliance-540x432-1.jpeg?resize=50%2C50",50,50,true]},"uagb_author_info":{"display_name":"Effi Author","author_link":"http:\/\/13.210.238.202\/blogs\/author\/effi-author\/"},"uagb_comment_info":0,"uagb_excerpt":"There\u2019s a next wave of regulatory changes commencing early October that brokers will need to understand and take necessary actions to remain compliant.\u00a0 We\u2019d like to outline six new laws that will come into effect to expand obligations for brokers and the financial services industry. These include: Reference checking and information-sharing requirements \u2013 starting 1&hellip;","_links":{"self":[{"href":"http:\/\/13.210.238.202\/blogs\/wp-json\/wp\/v2\/posts\/507"}],"collection":[{"href":"http:\/\/13.210.238.202\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/13.210.238.202\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/13.210.238.202\/blogs\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"http:\/\/13.210.238.202\/blogs\/wp-json\/wp\/v2\/comments?post=507"}],"version-history":[{"count":1,"href":"http:\/\/13.210.238.202\/blogs\/wp-json\/wp\/v2\/posts\/507\/revisions"}],"predecessor-version":[{"id":509,"href":"http:\/\/13.210.238.202\/blogs\/wp-json\/wp\/v2\/posts\/507\/revisions\/509"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/13.210.238.202\/blogs\/wp-json\/wp\/v2\/media\/508"}],"wp:attachment":[{"href":"http:\/\/13.210.238.202\/blogs\/wp-json\/wp\/v2\/media?parent=507"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/13.210.238.202\/blogs\/wp-json\/wp\/v2\/categories?post=507"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/13.210.238.202\/blogs\/wp-json\/wp\/v2\/tags?post=507"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}