$2bn of broker commissions in fintech’s crosshairs
An Australian fintech has set its sights on disrupting the dominance of the mortgage broking industry by appealing to the banks who it claims are keen to reduce the $2 billion they spend on broker commissions. Adelaide-based online home loan platform Joust has distanced itself from its competitors in the fintech space, which has seen a flurry of mortgage disruptors in recent years. “Joust is not a comparison site with a myriad of static rates. It is also not an online broker or aggregator. We are a revolutionary marketplace model for home loan customers and lenders,” Joust co-founder and CEO Mark Bevan said. Joust is leveraging the negative press that […]
Bank of Queensland bans using home equity loans for crypto
Lenders are banning property buyers from using home equity to buy cryptocurrencies because of regulatory fears and increased risk from volatile trading conditions. Bank of Queensland is the latest to ban any drawdown or lines of credit from loans to be used for leveraged purchases, trading or other use of the largely unregulated global digital currency. Other lenders are discouraging borrowers and mortgage brokers, who act as intermediaries between lenders and borrowers, from using real estate to fund high-risk investments. Leveraged currency plays can magnify gains from a successful investment decision but worsen losses. Lenders are asking questions and monitoring borrowers’ accounts to alert them to crypto-trades, purchases, or offshore […]
The fintech transformation
According to one fintech expert, brokers could soon be replaced by smart speakers. But will customers embrace such a technological leap? Until the early 2000s, the process of booking a holiday involved trips to multiple travel agencies, hours thumbing through glossy brochures, and more sit-down meetings than the average mortgage currently requires. Today it’s a task that can be completed on a mobile phone during a coffee break. There are many reasons why the travel industry experienced such a shift, from the lure of competitive prices to the convenience of consumers becoming their own armchair agents. People simply wanted to take more control. Seeing the same demands echo throughout the […]
Fintech startup HashChing has launched an equity crowdfunding campaign
Mortgage marketplace startup HashChing, a fintech startup disrupting the monopoly of the big banks, has launched an equity crowdfunding campaign. It’s currently live on the Equitise platform, which has one of the seven crowdfunding licences issued for the first time this year. HashChing, which is seeking between $1 million and $5 million, has so far raised $286,500, at a minimum $250 investment, with another eight days to go. “A slight difference in interest rates can cost a homeowner thousands of dollar each year,” says Mandeep Sodhi, founder and CEO. “This is why one out of two Australians like to deal with a mortgage broker instead of going direct to the […]
Mortgage group’s “mortgage hell” billboard above CBA
Online mortgage startup HashChing is advertising with a billboard above a Commonwealth Bank of Australia (CBA) branch. The home loan marketplace has launched a campaign against the big banks, which includes this billboard in the Melbourne CBD. The slogan reads, “Our brokers will go to mortgage hell, so you don’t have to”. Mandeep Sodhi, CEO of HashChing, said the new billboard made light of the fact that applying for a mortgage or refinancing an existing one can be quite an onerous experience. He added, “By positioning this billboard above a CBA branch, we’re encouraging the 80% of borrowers who are currently with a big four bank to find a better […]
Tic:Toc boss calls out HEM issues and ‘questionable’ third parties
The CEO of online mortgage lender Tic:Toc Home Loans says that no human judgement need enter the equation when it comes to assessing the expenses of a mortgage applicant. With the first weeks of the banking royal commission now behind us, Tic:Toc founder and CEO Anthony Baum believes it has become clear that there is an opportunity for the mortgage industry to reconsider how customers are assessed for finance. “One key flaw that’s been exposed is the failure to conduct basic checks and balances on the applicants’ household expenses. This includes instances where judgement on a customer’s borrowing capacity has been handed to a raft of questionable third parties,” the […]
Australian Government backs Fintech HashChing with $700,000 loan from Jobs NSW
HashChing, a Sydney-based home loan marketplace, has just announced a $700,000 loan from Jobs NSW. Deputy Premier and Minister for Small Business John Barilaro said the NSW Government had backed the Fintech which is expected to create 46 jobs over the next five years. “Jobs for NSW is helping some of our brightest business people overcome barriers to finance – it’s about making smart investments that allow good business ideas and businesses to grow,” said Barilaro. “The Jobs for NSW Strategic Growth Loan will allow the company to hire software developers, product developers, a data scientist and sales and marketing staff to support HashChing’s continued growth.” HashChing is an online […]
HashChing eyes white label mortgages
The mortgage marketplace has launched a crowdfunding campaign in a bid to help facilitate its growth plans, which include rolling out its own white label loans. On Tuesday (15 May), mortgage marketplace HashChing launched a crowdfunding campaign with the target of raising $5 million to fund its growth ambitions. HashChing has invited interested parties — including brokers, investors and borrowers — to invest a minimum of $250 in the mortgage platform via Sydney-based crowdfunding platform Equitise. Speaking to The Adviser, HashChing CEO Mandeep Sodhi said: “[The] company chose to raise capital via equity crowdfunding to provide an opportunity to the loyal members of the HashChing community to own a part […]
