The decision follows criticisms from advisers and brokers
ASB Bank has started reviewing the processing of its COVID-19 mortgage requests following criticisms from advisers and brokers.
ASB told customers who need payment holidays and other mortgage changes to contact it directly rather than discussing with brokers or advisers. As a result, brokers and advisers have been calling out the bank for “freezing” them out of the process.
A spokeswoman for ASB confirmed that the bank is asking customers to apply directly for mortgage relief. However, it is now reviewing the process.
Grant Gilbert, general manager for specialist lending and business development at ASB, commented that customers should seek their adviser’s advice before making changes to their mortgage.
“It’s really important that customers understand the long-term implications of mortgage deferral or interest-only arrangements, and we encourage customers to talk to their broker about the best solution for them,” Gilbert told Good Returns.
“We established the online application process to make it quick and easy for our customers to apply for the assistance they need. Based on feedback from customers and brokers, we are currently reviewing our process.”
