[MFAA] Webinar: Cyber threats in Australian mortgage broking
- September 6, 2024
Dear Oxbridge Partners and Affiliates,
Learning outcomes:
1.Understand cyber threats in Australia’s mortgage broking and financial services industry
2. Assess your business’s cyber defences and resilience, and identify necessary improvements
3.Understand why privacy is important and your reporting obligations
4. Mitigate cyber risk with insurance
Event Details
Date and Time: Tuesday 22 October 2.00 – 3.00pm (ACT, NSW, TAS, VIC) 1.30 – 12.30pm (SA) 12.30 – 1.30pm (NT) 1.00 – 2.00pm (QLD) 11.00 – 12.00pm (WA)
Venue: Online
About the presenters
Cris White
Head of Cyber Advisory at cyberSuite
Cris leads crisis management and risk programs at cyberSuite. With 15 years’ experience as a Warfare Officer in the ADF, he excels in strategic planning, risk assessments and cyber security. He works with business leaders and IT teams to manage risks and enhance decision-making.’
Katrina Hickson,
Head of Distribution at Emergence Insurance
Katrina delivers tailored cyber insurance solutions across Australia and New Zealand through strategic broker relationships. She and her team provide innovative solutions and risk protection, navigating the evolving cyber landscape with Emergence’s expertise shaping the future of cyber insurance.
Will Gomez
Managing Director of Scott & Broad Professional Risks
Will has spent 13 years in the insurance industry, with experience in claims, underwriting, and relationship management. He now specialises in professional indemnity, cyber, and director’s insurance for the mortgage broking and financial services sectors, including brokers, aggregators, non-bank lenders, fintechs, and debt management firms.
ABOUT THE MORTGAGE BROKERING BUSINESS
Mortgage Brokering is a phenomenal industry that offers truly passive income and the ability to build your book. The average income of mortgage brokers at Oxbridge is an impressive $188,046 (https://www.brokernews.com.au/news/breaking-news/how-much-do-australian-mortgage-brokers-earn-280893.aspx) whilst top brokers can earn over $2m a year often in passive income (https://www.afr.com/companies/financial-services/inside-the-unstoppable-rise-of-australia-s-mortgage-brokers-20240524-p5jg8b). The best thing about finance brokering is the TRUE PASSIVE INCOME. Oxbridge Training (www.oxbridge.training) offers individuals to obtain their certificate and diploma in mortgage brokering in a short amount of time. Very few professionals are qualified in both real estate and mortgage brokering. The key to a successful mortgage broking business are the leads. With over 4,500+ online listings and another 1,000 off market listings the Oxbridge Real Estate business side provides an excellent source of lead generation
Although the details around when and how brokers receive commission varies from lender to lender, generally speaking: Upfront commission: 0.65% (+GST) to 0.85% (+GST)
The upfront commission is the largest component of the commission. The broker receives this once your loan settles. Trail commission is what the broker receives every month for the life of the loan. Usually, this trail is set at 0.15%-0.40% per annum based on the remaining loan amount each year. To be clear, mortgage brokers don’t work for the banks, although there are some mortgage brokerages that are partly-owned by banks and larger lenders. Oxbridge is always 100% independent (e.g. Aussie is owned by Lendi which is owned by numerous shareholders including CBA, 1835i (ANZ’s external venture capital partner) and Macquarie Bank, RAMS is owned by Westpac, REA owns Mortgage Choice etc)
Working on a typical loan size of $850,000 and writing 20 loans in the first year. The commission received by the broker would be
$750,000 (20 x 0.70% + 20* 0.45%) = $119,000 (upfront) + $76,500 (Trail) = $195,500
Top brokers in Australia (See https://www.mpamag.com/au/best-in-mortgage/top-100-brokers-2022/429801) receive well in excess each year of $3M upfront commission and at least 3x that in terms of trail commissions for the life of the loan. Several Oxbridge brokers are doing exceptionally well earning 6 figure income. Some Oxbridge members are dual qualified in mortgage brokering and real estate which is a huge competitive advantage in the market place. Trail commission is really true passive income
The Oxbridge Finance Team
