PAA talks through concerns with ASB

PAA chairman Bruce Cortesi has told members the association had an “open, honest and fruitful” conversation with ASB,  as it works to tackle bank practices it says undermine advisers.

In June, the PAA sent a fierce email to its members, telling them it had been made aware of the “unsavoury” practices of a major bank and was taking up the issue.

It was believed to relate to ASB’s process of contacting customers when the time came to refix their loans, even if they were the clients of a broker, and of prioritising home loan applications that came direct to the bank.

The banks were reported to be unhappy about the letter and it is believed that ANZ pulled sponsorship of the joint conference because of it.

Cortesi sent another letter to members this week, advising them that he, Karen Tatteson and Rod Severn met Marc Oliver and Claire McKinnon from ASB to discuss the issues.

“The ASB re-iterated its stance that they are adviser friendly, wanted the adviser community to work with them and wanted an outcome that gave satisfaction to you as well as your clients,” Cortesi said.

He said more meetings would be arranged.

“It is fair to say not all problems highlighted are caused by the bank. Legislation, a challenging and varying business environment, market competition and consumer demands all place demands on the home loan sector. The PAA will continue to represent your feedback in an effort to help you do what you do best – provide advice.”

Cortesi said meetings with ANZ and Westpac were planned.

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