With 75 per cent of Australians frustrated with the traditional home loan process, Australian fin-tech Nano has launched the world’s first ‘Inaction Figure’ to take aim at the lending industry.
The ‘Inaction Figure’ symbolises the frustrations Australians experience with traditional lenders when it comes to home ownership and refinancing.
Some of the most significant frustrations include confusing jargon (72 per cent), too much paperwork (48 per cent) and slow processes and hidden fees (55 per cent), according to the new research from Nano.
To challenge the traditional approach to refinancing and home loan lending, Nano has launched the tongue-in-cheek ‘Inaction Figure’ campaign to symbolise the many frustrations Australians experience with traditional lenders.
Half of Australians claim loan approvals can take up to four weeks, while another 20 per cent believe it can take up to two months.
Most Australians believe the home lending industry is designed to be benefit the lender (85 per cent).
The research also revealed that Australians want change, with 86 per cent of participants believing technology could be used to make home loans easier.
Selling Houses Australia presenter Andrew Winter believes the Inaction Figure campaign could not come at a better time.
“Australians have for far too long experienced poor customer service, red tape, unnecessary jargon, opaque pricing and complex forms when it comes to managing their mortgage,” Mr Winter said.
“The Inaction Figure is the perfect anti-hero to personify this dissatisfaction with systems that were designed to benefit the lender, not the borrower.”
Key findings
- 75 per cent of Australians are disgruntled by the home loan processes citing poor customer service and hidden fees.
- Australians are frustrated by the traditional home loan process, citing confusing jargon (72 per cent), the slow process and hidden fees (55 per cent) and too much paperwork (48 per cent) as key issues.
- 85 per cent of Australians believe the market benefits the lender not the borrower.
- 70 per cent of Australians think the home lending market lacks innovation.
- 71 per cent of Australians feel they are getting ripped off by their home lender.
- 86 per cent of Australians believe technology could be used to make home loans easier.
