Two new open banking apps are set to make it easier for Australians to own their own homes, thanks to a three-pronged partnership between broker business Loan Gallery, home builder Metricon, and fintech Effi.
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According to a statement, Metricon customers are the early beneficiaries of the open banking apps that are being brought to market by Loan Gallery.
Purported to be financial tracker apps, they aim to “support savers to build up a deposit and help borrowers to manage their personal finances and navigate interest rates so they can own their home sooner”.
Open banking has been made possible by the national Consumer Data Right (CDR) regime, which gives consumers the right to request electronic sharing of their bank data with approved third parties – supporting choice, confidence and convenience.
Fintech platform Effi is behind the apps’ development, with open banking connectivity powered by locally accredited, global financial data aggregator Envestnet® | Yodlee ®.
Metricon general manager of sales Victoria, Drew Glascott, said the apps will “undoubtedly benefit thousands”.
“These new financial tools align perfectly with our commitment to help more Australians achieve their dream of home ownership,” he commented.
The first app is a savings tracker app, focused on first-time buyers needing a financial plan to save up their “vital” deposit and unlock mortgage approval.
It also reportedly enables Loan Gallery mortgage brokers to understand a borrower’s income and spending habits in real time based on live bank data.
Steve Matsoukas, Loan Gallery director, remarked they are “excited to partner with Effi to deliver the Savings Tracker under our own brand so mortgage brokers can nurture first-time home buyers with a personalised savings plan that will accelerate them onto the property ladder”.
Loan Gallery is also set to white label Effi’s Loan Tracker tool, which will enable mortgage brokers to see an individual’s current loan balance and predict how future interest rate changes might impact affordability.
This will see brokers issued with instant alerts on crucial changes, and prompt them to reach out to borrowers with timely advice and options.
The developments come as Effi acknowledges the role played by mortgage brokers, with CEO Mandeep Sodhi stating that “in the current environment, with rising living costs and interest rates, mortgage brokers play a vital role assisting borrowers to navigate big decisions”.
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