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NAB to get rid of controversial Introducer Program

National Australia Bank has announced it will get rid of its ‘Introducer Program’ after findings from the royal commission revealed cases of misconduct.

The controversial program paid members of the public, including sporting clubs or councils, who referred the bank to new home loan customers.

The royal commission revealed misconduct behind the incentives, including fraud, suggesting the programs should be better regulated.

Finance Brokers Association Managing Director Peter White tells Ross Greenwood “it’s high time these things were brought into account”.

“I don’t think we can leave National Australia Bank on their own with this, other banks have been involved in referral programs.

“It’s quite ridiculous the commissions that have been paid out.”

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A former NAB manager in regional NSW, who does not wish to be named, tells Ross Greenwood he thinks the program was effective despite lingering privacy concerns.

“I thought it was a clean source of introducing new business.

“It was a fundraising avenue for the clubs or the schools.

“It certainly wasn’t going to be a big money spinner but it was still worthwhile… but privacy concerns I think were a main factor.”

Click PLAY below to listen to the full interview