The campaign against the big four banks follows the launch of the mortgage brokerage’s website on Monday, reports The Australian Financial Review.
Simon Sheikh, co-founder of the website, wishes to switch some $200m to $300m in mortgages this year. He is also the former national director of activist group GetUp.
“A mass home loan switch would make the banks sit up and take notice, it's one of their highest margin businesses," he said.
The process involves brokers comparing roughly 100 home loan products, particularly “fossil fuel-free lenders” for customers. The launch also follows a three-month pilot that saw $15m shifted from the big four banks, at an average of $400,000 per home loan, to lenders that do not support the expansion of major fossil fuel projects.
"It is critical to stop further lending to fossil fuel projects, that is the most important line in the sand we can draw,” Sheikh said, adding that "customers who move [home loan providers] on values, stay on values".
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