Mortgage Adviser vs Bank – Which One's Right for You? | Jason Bruce Mortgage Advice

Full Disclosure First

Being upfront about where I stand in this comparison.

Before we dive in, let's be clear: I'm a mortgage adviser, so naturally I'm going to have some bias towards advisers.

That said, I've worked on both sides - years in some of New Zealand's biggest banks before becoming an adviser. So I've seen how both approaches work from the inside.

I'll try to give you the honest breakdown of both options, but keep in mind where I'm coming from. The goal here is to help you figure out what's right for your situation, not to convince you either way.

Always consider the source when getting advice - including this article. What matters is finding the approach that works best for you.

The rate myth

Understanding the truth about rates and who actually does the work.

There's a common belief that advisers can always get you better rates. That used to be true more than a decade ago, but not anymore.

Today, the rates are the same - the difference comes down to who actually does the work of finding and negotiating them.

Example:

John & Jenny bank with Bank A. They're offered 4.90% for one year.

Bank B is quietly offering 4.85%, but John & Jenny don't know.

Unless they go and dig up Bank B's rate themselves and push Bank A to match, they'll just fix at 4.90%.

An adviser, on the other hand, already knows Bank B's pricing. They'll put it in front of Bank A and get it matched - saving John & Jenny the legwork.

So the rate's the same. The process isn't.

Advisers don't get better rates, but they do the comparison shopping and negotiation for you.

Going direct to a bank

What you get when you work directly with your bank.

• You're dealing with that bank's products only.

• Staff may or may not hold financial advice qualifications (not required by law).

• Advice is limited to what their bank offers - nothing more.

• Turnaround can be faster since the bank controls the process end-to-end.

• Banks also have sales targets, which can shape the advice you get.

This option can suit you if you know exactly what you want and you're happy to stay with that bank. If you're a first home buyer, it's worth understanding all your options before making this decision.

Banks can be efficient if you're certain about staying with them and understand their products well.

Working with a mortgage adviser

The qualifications, process, and benefits of using a licensed adviser.

• Advisers are licensed financial advisers. In NZ, that means holding the Level 5 Financial Services qualification (or equivalent), meeting FMA standards, and keeping up ongoing training.

• They work across multiple banks - though it's worth checking which lenders each adviser partners with.

• They're paid by lender commission, but legally required to put your interests first and disclose conflicts.

• They compare, negotiate, and manage the process for you.

• It might take a little longer behind the scenes, but advisers usually save you time and hassle overall.

Check which banks your adviser works with - not all advisers have access to every lender.

Quick comparison

A side-by-side breakdown of your options.

Aspect	Bank Direct	Mortgage Adviser
Qualifications	Not legally required	Licensed + Level 5 qualified
Advice	Only on their own products	Regulated, personalised, across multiple banks
Range	One bank's products	A panel of lenders
Rates	May match if you push	Adviser negotiates on your behalf
Conflicts	Sales targets	Commissions disclosed + regulated
Speed	Often faster	Slightly longer, but handled for you
Cost	Free	Free (paid by lender commission)

Both options are free to you - the difference is in service, qualifications, and choice.

In short

The bottom line on choosing your path forward.

Banks = faster, simpler if you only want that bank's products.

Advisers = qualified, regulated, more choice, and someone in your corner.

If you're weighing up your options, I'm happy to chat it through and point you in the right direction. You can also use our mortgage calculators to explore different scenarios and get a feel for what might work for you.

The best choice depends on your situation, complexity of needs, and how much guidance you want.