According to Choice, there have been 31,000 complaints to AFCA about credit products since the end of the Hayne royal commission hearings (based on an analysis of AFCA data covering November 2018 to December 2020).
MPs go head-to-head over responsible lending bill By Annie Kane 16 March 2021
Several MPs went head-to-head at the second reading debate in the Houses of Parliament, with members of the Opposition particularly concerned over the impact of the repeal of responsible lending laws.
On Monday (15 March), the National Consumer Credit Protection Amendment (Supporting Economic Recovery) Bill 2020 – which focuses on amending the credit laws so that they remove responsible lending obligations (RLOs) and extend the best interests duty to more credit assistance providers, among other changes – was debated in Parliament during its second and third reading.
The debates, held in the Houses of Parliament, followed on from the release of the Senate economics legislation committee final report for its inquiry into the matter on Friday (12 Marc
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On Friday, the Senate Economics Committee released its assessment of the Morrison Government’s planned axing of responsible lending rules, which supported winding back regulations to support greater credit provision across the economy:
The committee notes that a well-functioning credit market is essential for economic growth generally, and for Australia’s recovery from the COVID-19 pandemic specifically. The committee agrees that the current consumer credit protection framework is potentially overly prescriptive and that regulatory duplication between the responsible lending obligations, under the Credit Act, and the prudential standards issued by APRA could be an issue.