by Jenny Ruth
He says the New Zealand market has very demanding standards of lenders, in particular wanting loans approved within 24 hours, which creates a high service barrier.
His major aim is to put Pioneer at "number one on the shopping list" rather than simply being an alternative to a bank.
RAMS hit the headlines earlier this year when it started offering mortgage brokers trail-only commissions, but earlier this month it withdrew that product citing a lack of interest. That move came in an environment in which all lenders are talking about a need to reduce their distribution costs.
In New Zealand, Westpac has already changed its commission structure and in Australia ANZ Bank and Commonwealth Bank, ASB Bank and Sovereign’s parent, have announced commission reviews.
Pioneer won’t necessarily be rushing to emulate them. "From my experience, there is no one model or right answer," Weiser says.
Weiser says the key to growing the non-bank lending market is to continually offer products that are different to traditional bank offerings and which are ahead of customer expectations.
Given that view, it isn’t surprising that Pioneer has just entered the low documentation, LoDoc, part of the market with its Express Home Loan.
Pioneer is targeting self-employed people who, as it puts it, "traditionally struggle to supply the appropriate income verification."
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