Questions to Ask Your Mortgage Broker (2026)
Choosing the right mortgage broker — and the right home loan — starts with asking the right questions. A good broker will welcome your questions and answer them clearly. A broker who is evasive or dismissive when you ask about commissions, lender panels, or their reasoning for a recommendation is a red flag.
Here are the essential questions to ask before, during and after working with a mortgage broker in Australia.
Questions to Ask Before You Start
1. Are you licensed?
Ask the broker for their Australian Credit Licence (ACL) number or their authorisation number as a credit representative. Then verify it yourself at ASIC Connect (connectonline.asic.gov.au). A legitimate broker will not hesitate to provide this.
2. Are you a member of MFAA or FBAA?
Membership of the Mortgage & Finance Association of Australia (MFAA) or Finance Brokers Association of Australia (FBAA) indicates the broker meets minimum professional standards (qualifications, CPD, professional indemnity insurance) and is subject to industry conduct rules.
3. How many lenders are on your panel?
More is generally better — a panel of 30+ lenders ensures you see a broad range of options. Ask specifically if the panel includes:
- The Big Four banks (CommBank, ANZ, Westpac, NAB)
- Non-bank lenders (Firstmac, Liberty, Pepper Money, Resimac)
- Online lenders
4. How long have you been a broker, and what types of loans do you specialise in?
Experience matters — especially for complex scenarios. If you are self-employed, buying an investment property, or have an unusual financial situation, ask whether the broker has experience with similar clients.
Questions About the Loan Recommendation
5. Why did you recommend this specific loan?
Your broker must be able to clearly explain why the recommended loan is the best option for your situation — not just that it is “good value.” The explanation should address your specific needs (offset account, fixed/variable preference, lowest fee, LMI considerations, etc.).
6. What other loans did you consider and why did you rule them out?
Under the best interests duty, brokers must consider options and document their reasoning. Ask to see what they compared and why alternatives were excluded.
7. What is the comparison rate for this loan?
The comparison rate incorporates the interest rate plus most fees, expressed as a single annual percentage. It provides a better real-cost comparison than the headline rate alone. Every Australian lender must disclose a comparison rate.
8. Are there any restrictions on this loan I should know about?
Ask specifically about:
- Can I make extra repayments?
- Is there a redraw facility?
- Is there an offset account, and does it apply to fixed or variable portions?
- Are there break costs if I fix the rate and then need to sell or refinance?
- Can I switch from fixed to variable (and at what cost)?
Questions About Commissions and Fees
9. How much upfront commission will you receive from this loan?
Brokers must disclose commissions in writing. Ask for the dollar amount (or a clear percentage) of the upfront commission the lender will pay the broker when your loan settles.
Typical answer: 0.5%–0.65% of the loan amount. On a $700,000 loan, this is $3,500–$4,550.
10. Will you receive ongoing trail commission?
Ask the broker to confirm the trail commission rate and provide an indicative annual dollar amount based on your loan balance.
Typical answer: 0.15%–0.25% per annum of the outstanding balance.
11. Do you receive any other benefits from lenders?
Ask about any volume bonuses, promotional incentives, referral fee arrangements, or marketing support received from lenders. Most volume-based incentives have been curtailed post-Hayne Royal Commission, but it is reasonable to ask.
12. Do you charge a fee if my application is unsuccessful?
In most cases, brokers only earn commission if the loan settles — and charge no fee for unsuccessful applications. However, some specialist brokers charge a fee for complex scenarios. This must be disclosed upfront.
Questions About the Process
13. Who will I be dealing with throughout the process — you personally or a team?
Some larger broker operations hand clients off to junior staff or a processing team after the initial consultation. Know who you will communicate with during the application process.
14. How do you communicate — phone, email, portal?
Understand how updates will be provided and how quickly you can expect responses to queries.
15. How long does the typical application take from submission to formal approval?
Timeframes vary significantly by lender and application complexity. A realistic expectation (2–10 business days for conditional approval, longer for formal approval) helps you plan your property purchase timeline.
16. What documents do I need to provide?
Get a complete document checklist upfront. Common requirements include payslips, tax returns, bank statements, photo ID, and the contract of sale. Knowing this upfront avoids delays.
Questions About Post-Settlement
17. Will you contact me for annual reviews?
A good broker maintains the relationship after settlement — reviewing your rate annually and letting you know if refinancing would save you money. Brokers receive trail commission for as long as your loan remains, creating an incentive for ongoing service.
18. What is your process if I want to refinance later?
Understand what happens if you want to refinance in the future — does the broker assist, and what are the implications for their commission and any clawback from the original lender?
Red Flag Responses
Watch out for these signs when asking questions:
| Question | Red flag response |
|---|---|
| Are you licensed? | Hesitation, unwillingness to provide ACL number |
| Why did you recommend this loan? | Vague answer without specific reference to your needs |
| What other loans did you consider? | “This is the best one” without explanation |
| How much commission do you receive? | Refusal to disclose; directing you to the paperwork without explanation |
| Are there restrictions on this loan? | Minimising or avoiding the question |
Frequently Asked Questions
Should I feel uncomfortable asking about commissions?
No — you are entitled to this information by law. Australian mortgage brokers must disclose commissions in writing, and you should expect a clear, direct answer to any question about how the broker is paid.
What if the broker gets defensive or dismissive?
Consider it a red flag and consult another broker. Good brokers understand that informed clients are better clients and welcome questions.
Can I ask these questions by email before meeting the broker?
Yes — asking some questions by email (especially about lender panel size and licence details) before a meeting helps you prepare and assess the broker’s responsiveness.
Related Guides
- How to Find a Good Mortgage Broker
- Mortgage Broker Best Interests Duty
- How Are Mortgage Brokers Paid?
- How Mortgage Brokers Work
- Mortgage Brokers Hub
This article provides general guidance to help Australian borrowers engage productively with mortgage brokers. It is not personal financial or credit advice. For guidance on your specific borrowing situation, speak with a licensed mortgage broker. Find one through MoneySmart.