November Compliance Recap




ASIC have released a number of updates on Best Interests Duty that provide further information about particular parts of the regulation which comes into effect 1 Jan 2021. 

Panel size summary:

  • Brokers should periodically review their panel to ensure it remains appropriate for their customer base.
  • If a customer is interested in a product that is not on a broker’s panel, the broker should be transparent and make this clear to the customer, and where appropriate, refer them to a broker that can assist with this lender
  • The broker must always act in the customer’s best interests when making a recommendation, regardless of commissions for you or any other related party (typically this relates to white label)

For the full update click here.

Reasonable steps obligation for credit licensees summary:

Credit licensees must take reasonable steps to ensure their credit representatives comply with BID and related obligations including the Conflict Priority Rule and the ban of conflicted remuneration

Keeping appropriate records is especially important for licensees and brokers

For the full update click here.

Conflict Priority Rule summary:

  • When a broker’s interests don’t align with the interests of the consumer, the broker should consider what a non-conflicted broker would do in their position
  • The Conflict Priority Rule isn’t limited to higher commissions. Any interest of the broker could trigger the rule if it conflicts with the interests of the consumer
  • The consumer’s interests must always be prioritised ahead of the broker’s interests

For the full update click here.

Packages summary:

  • When making a recommendation on a packaged product, brokers must be aware that they’re also making a recommendation on the rest of the products within that package
  • This means there needs to be clear and concise notes every single time a package is recommended as to why this is in the customers best interests
  • ASIC have been clear they expect brokers "record the steps they have taken to educate the consumer about their obligations and the features of the products within the package."

For the full update click here.



Supporting documents: all supporting documents must be uploaded into MyCRM prior to lodging the deal into ApplyOnline

Redacting tax file numbers: all tax file numbers and customer reference numbers must be redacted before the documents are uploaded into MyCRM. Reminder you can utilise FileInvite to redact TFNs and save time. 

Cross check information: client’s personal or financial information in the Game Plan should match the serviceability calculator and ApplyOnline. If there are discrepancies, clear notes need to be left explaining why. Remember to ensure you leave clear notes in MyCRM as to how you’ve calculated your client’s income. 



Fact sheets: four fact sheets that explain key terms so customers can fully understand their loan options

Repricing email template: use this when you’ve completed the repricing of your customer’s loan to keep you BID Safe

Both these tools can be found in Important Documents in MyCRM