The peak body for mortgage brokers has expelled 1,500 of its members after they failed to prove they had reached the minimum standard of education.
Mortgage and Finance Association of Australia chief executive Phil Naylor said the members had not shown they had successfully completed the certificate four in financial services in time.
"This MFAA wishes to raise -- and recognise -- the level of professionalism among its members, who provide valuable advice and services to their clients," Mr Naylor said.
"In 2007, the MFAA Board resolved that all new member applicants must hold the Certificate IV qualification or an equivalent as a pre-requisite to MFAA membership, while all existing members had until 1 July 2009 to satisfy that requirement.
"The Board wanted to ensure all MFAA members held the basic foundational qualification for mortgage and finance broking."
"This enables the MFAA to raise the level of professionalism among its membership again by introducing a minimum Diploma qualification in the next few years.
"The Board's objective is for MFAA members to operate at a high level of professionalism, above and beyond the requirements of the upcoming National Consumer Credit Protection Act,"he said.
Mr Naylor said that despite several reminders, some 1500 members failed to satisfy the MFAA that they attained the Certificate IV qualification.
"Regrettably, we have no choice but to cease their memberships.
"However, the MFAA will reinstate a membership if Certificate IV is attained within the next three months," Mr Naylor said.
"The MFAA makes no apologies for setting the bar high when it comes to professional standards."
