I suspect that the mortgage broking industry is due for another cleanout, like the one that happened after the GFC. Maybe this is MOC's way of doing this.
I'm reminded of the scene in the movie "The Big short" where they travel to Florida to meet with mortgage brokers- if you haven't seen it its' worth a look- although the current mortgage broking cycle is not that bad (I hope).
In regards to brokers putting deals through other aggregators- they need to be very careful. Each broker needs an introducer number with each bank and they are not supposed to have 2 numbers with the one bank- They are also not supposed to be with more than 1 aggregator. Maybe they are setting up new companies with family members as directors etc, but that would be unwise if the relationship between MOC and the franchisees are toxic.
MOC Price at posting:
$1.57 Sentiment: None Disclosure: Not Held
