The Mortgage & Finance Association of Australia (MFAA) has terminated the membership of 1,100 broker members who have failed to meet the educational standard necessary to become MFAA Credit Advisers.
In 2009, the MFAA Board decided that by 31 January 2013 all loan writing members must have successfully completed the Diploma in Financial Services (Finance/Mortgage Broking Management) or equivalent to continue membership with MFAA and use the accreditation of now being an MFAA Credit Adviser.
The diploma requirement for those with less than two years of mortgage broking experience takes up to 12 months, while those with more than two years experience may take up to six months to complete the diploma program.
All members have been reminded of this required standard many times over the last 12 months, following the MFAA National Board’s decision to actively demonstrate that members have high standards of professionalism and qualifications with consumers and regulators.
CEO of the MFAA, Phil Naylor, said: “We are very pleased that more than 88% of our members are now qualified to use the new accreditation MFAA Credit Adviser, with expectations that many of those whose membership has been terminated will seek to have it reinstated within the next two months by providing evidence of the required education qualifications.
“It is very important that the sector, which now delivers more than 40%t of mortgages in Australia, continues to show leadership in professional education, standards and compliance, negating the need for any further government intervention and regulation.
“With this sector providing home loans worth more than $100 billion this year, MFAA Credit Advisers are now a very important part of the financial services sector and MFAA members can now confidently display and promote their qualifications to their clients.”