During a more and more fierce competition on the banking market, all the banks are trying to diversify their products and services and to seek all possible channels for promoting and distributing them. In addition, increasingly more people are starting to acknowledge the existence and the benefits of the services offered by credit brokers, creating the prerequisites for a rapid expansion of the market of mortgage loans. Distribution of products and banking services through with the help of a mortgage broker offers multiple advantages for both the bank and the loan broker, but especially for the customer.
When working with a mortgage broker, the result can be seen in the minimizing of the number of trips to the bank for the customers, helping to increase their satisfaction. It's worth mentioning that there is no additional cost to the customer and the product purchased through a partner benefits from exactly the same cost as the products sold in units of the bank. At the same time, the customer benefits from loan broker’s impartiality in presenting the offer, this being achieved by comparison with the other banks in the portfolio of the broker. The most important benefit of the customers is that, by working with the bank partners, they can benefit from advice on preparing the documentation necessary to obtain the banking products.
On the other hand, the bank expands considerably its portfolio of potential customers, without this involving a proportional effort to broaden its own distribution network. In addition, it is an active way of sale of loans that helps decongest the bank's branch network activity. The contribution of the partners to the increase of customer portfolio and thus the bank's income is obvious, because, in addition to attracting new clients, they relieve the territorial units of the work of preparing the documentation and they open their traffic. While the customer does not have to incur additional costs, for the bank there are several cost elements to be considered, including training, sales support, sales commission and monitoring activities.
While the banks win by promoting their credit products and improving their profitability and market share, the loan brokers are earning substantial revenues by mediating attractive banking products. Increasingly more people are turning to the services of credit brokers in order to find the best mortgage loans and prepare the documentation for the credit and the loan brokers aim to diversify the financial advisory offer by massively stimulating the competition among banks, both regarding the conditions for the granting of products and the commissions offered in return for attracting new customers. Considering the fact that partnerships are not exclusive either for the banks or for the credit brokers, this alternative distribution channel helps to increase banking competition.
Brokering loans is advantageous for all parties: the customer receives a free service and the bank pays the commission, but still gains. Brokering picks up banking competition.
A mortgage broker http://www.bc-mortgage-brokers.ca is the perfect solutions for all those who want to apply for mortgage loans http://www.bc-mortgage-brokers.ca .