Pros and Cons of going directly to the bank for a loan:


  • Convenience: Generally banks will have all your details on file which may make it easier for you during the verification phase. This means less paperwork to be gathered. 
  • ‘No middle man’: Whilst not always the case, sometimes going directly via the bank may be quicker if you’re in a very tight time frame. Generally speaking the process time frames for both direct to bank and broker channels are similar. 


  • Limited options: Banks have access only to the products they offer. This can seriously restrict the alternatives especially in getting the best deal in the market. 
  • Loan Approval: Your bank may decline your application or not approve the loan amount required based on their policies. This is especially critical for self-employed customers. A broker will help you find a lender who can. 

You will need to consider how important convenience is for you in comparison to saving potentially thousands of dollars over the life of the loan. In the past five years alone, consumers using the broker channel have grown by 27% to 59.1% market share, highlighting the value of the broker model (MFAA Industry Intelligence Service Report, 7th edn.)

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