Venkat Raman –
Despite a rigid regulatory regime in place, New Zealand’s mortgage and insurance brokerage market is not immune to rogue players, an insider says.
“It is not uncommon for brokers to offer kickbacks to customers – that is one variety of dishonesty. But there is a more serious version of over-valuing properties to secure loans; no one talks openly about this unhealthy practice; but that does not rule out its existence,” a lender told Indian Newslink but would not want to be named.
Gurudutt Satigrama, who recently joined Transparent Finance Limited (TFL) as Mortgage and Insurance Adviser after 14 years as Chief Executive of Vision Asia in Australia and New Zealand, said that the Reserve Bank of New Zealand (RBNZ) and Financial Markets Authority (FMA) would do what it takes to protect the financial integrity of our markets, which is getting overcrowded with mortgage and insurance brokers.
“RBNZ regulations on LVR (Loan-to-Value Ratio) and rental property are defined by their needs to regulate the property market. We will work within these regulations to offer the best solutions to our customers,” he said.
Mr Satigrama said that many people, especially people of Indian origin are not only under-insured but also are not well apprised of the products and services available.
Poor Risk Management
“Risk Management is an underserviced industry and it is our focus to offer the right insurance product that matches the need of our clients. We can do a ‘Free, No Obligation Review of the insurance needs of Indian Newslink readers. All they need to do is call us on (09) 3905114.”
An engineering graduate with postgraduate degree (Masters) in Business management, Mr Satigrama has worked for major corporates in India and hence understands the need for proper risk assessment and risk management.
Among the companies in which he has worked are McCann Advertising, J Walter Thompson, BBDO, Star Vijay TV, International Music Division TV Software at Saregama India (the last three as Chief Executive Officer).
Mr Satigrama said that it was incumbent on every mortgage and insurance broker to ensure compliance of the regulations in force, since integrity and discipline are vital to protect the safety of our financial system.
“Mortgage and Insurance industry is highly competitive and competition is fierce with a dog-eat-dog mentality. At TFL, we believe in being totally upfront and honest with our clientele. We put the interests of our clients first and deliver them the best service that the Industry offers,” he said.
“Honesty & Transparency in our dealings with both Client & the Provider is our ‘differential’ in this competitive Industry. Our Directors Deep Bajaj and Nayan Bhatt have extensive experience in the finance industry, having worked with leading banks in the country.”
Among the services provided by his company are Home Loans, Refinancing Home Loans, Restructuring Home Loans, Investment Property Loans, Life Insurance, Income Protection Insurance, Medical Insurance, Trauma Insurance and Total Disability Insurance.
“We can arrange loans from various banks and specialist lenders as also insurance from various insurance providers in the market. TFL provides perhaps the best customer support service in the industry. The most common problem that we face in our daily routine is managing the expectations of clients and providers and walking the fine line balancing the two,” Mr Satigrama said.
As well as looking at avenues to expand market presence and market share, TFL constantly reviews the performance of clients and provides prompt advice in loan servicing, restructuring finance with change in individual circumstances, regulatory changes and other developments of significance.