From humble beginnings to non-bank lending leadership
Jeff Royle (pictured) of iLender shared his journey from simple beginnings to leading a major non-bank lending firm, navigating challenges and transforming lives along the way.
Early beginnings
Royle’s journey in the non-bank lending industry began in 1992 after transitioning from property sales in Europe. At that time, the concept of non-bank lending was nearly non-existent.
“There were two very wealthy families in London, and I used to present the application at the kitchen table, then if approved, type up the offer on a portable typewriter!” Royle said.
This hands-on approach marked the humble beginnings of a rapidly evolving industry.
Evolution through the 90s and early 2000s
The landscape of non-bank lending transformed significantly through the 1990s.
Royle’s venture expanded with a funding line of about $40 million, which they on-lent to clients. The shift continued into the early 2000s, a period of significant growth and change for the industry.
New challenges in New Zealand
Relocating to New Zealand in 2006, Royle encountered a vastly different environment.
“Let's just say it was the wild west in terms of lack of regulation compared to the UK,” he said.
Despite these challenges, Royle emphasised the core of mortgage advising.
“The most important and positive thing in mortgage advising has never changed, we alter people’s lives and that’s pretty powerful,” he said.
Impact of regulation
Regulation in New Zealand has cleaned up many previous issues, fostering a professional industry.
Royle appreciates the principle-based approach of New Zealand regulators, noting, “Do right by your clients and you have little to worry about.”
Current industry challenges
Today, Royle identifies new challenges, particularly with the Commerce Commission. He criticised its policy requiring advisers to present three offers to clients, questioning its practicality and fairness.
“I wonder if they will apply the same to the banks?” Royle said, highlighting the potential inefficiencies and increased costs to consumers this policy might cause.
The reward of alternative solutions
Despite the hurdles, Royle said he finds immense satisfaction in his work, particularly in offering alternative lending solutions.
“This is probably the most rewarding part of our business, turning a ‘no’ to a ‘yes,’” he said.
His clients’ testimonials on various platforms echo this sentiment, showcasing the significant impact of his work.
Advice for aspiring advisers
For those looking to enter the field, Royle advised keeping an open mind and learning continuously.
“Go to the workshops, read how others have succeeded and learn,” he said.
Building a network with experienced professionals and embracing non-mainstream solutions when necessary are crucial steps for long-term success in the industry.
