Why trust still matters in today's lending environment
After more than 25 years in banking, Katherine Kraakman (pictured) made a bold career pivot – and never looked back. Now 11 years into her mortgage advising career, the Priority Home Loans director shares what drives her, what’s shaped her, and why relationships matter more than ever.
From banking to broking
Kraakman’s move into mortgage advising wasn’t a spur-of-the-moment decision – it was a considered shift based on experience, passion, and a desire for purpose.
“I transitioned into mortgage advising 11 years ago after more than 25 years in the banking industry,” she said. “Seeking a change and the opportunity to work independently, I pursued a career where I could make a meaningful impact.”
Lending had always been the most fulfilling part of her banking career. It offered a chance to help people realise their dreams – something that now sits at the core of her advisory practice.
“Throughout my banking tenure, I held various roles, but I found lending to be the most fulfilling, as it allowed me to help individuals achieve their dream of homeownership,” she said.
A more accountable industry
For Kraakman, the evolution of mortgage broking into a regulated profession has been a positive and necessary step. The current framework, she said, boosts both client protection and industry professionalism.
“I appreciate the new regulatory framework under which we operate, as it ensures that advisers remain accountable and prioritise the best interests of their clients,” Kraakman said.
“This structured approach not only enhances professionalism within the industry but also streamlines processes, making transactions more efficient and transparent.”
Technology’s rise – and the value of trust
One of the biggest industry shifts today is the rapid advancement of artificial intelligence and online financial tools. But Kraakman believes they can’t replace what matters most: trust.
“The rise of artificial intelligence and digital platforms poses a potential challenge, as more consumers seek to manage their financial decisions online,” she said.
“However, I firmly believe that the human element remains invaluable. Building trust and forming relationships with a knowledgeable adviser continues to be a priority for many clients.”
Kraakman’s advice: embrace tech – but don’t lose the personal touch.
“The solution lies in maintaining a personalized approach while integrating technology to enhance, rather than replace, client engagement,” she said.
Riding out the recession
The toughest times in Kraakman’s career taught her the importance of resilience. During the recession, rising costs and plummeting volumes tested her resolve – and shaped her approach to business.
“One of the most challenging periods in my career occurred during the recession, when rising interest rates and an increasing cost of living led to a decline in home purchases and, consequently, mortgage applications,” she said.
“This resulted in a significant reduction in income. The key lesson from this experience was the importance of financial prudence – never overextending oneself and always maintaining a financial buffer to navigate economic downturns while sustaining one's desired lifestyle.”
Advice for new advisers: Take the leap
Kraakman’s advice for aspiring mortgage advisers is both honest and encouraging: Believe in yourself and do the work.
“Success in this industry requires dedication, long hours, and extensive networking, but the rewards are well worth the effort,” she said. “By consistently delivering excellent service and cultivating strong relationships, you will build a thriving practice that ensures long-term success.”
