Brokers upbeat about new regime

By Kevin Eddy | 26/07/2010 6:00:00 AM | 0 comments

FBAA members have responded positively to the advent of the consumer credit protection regime, accroding to the industry body's president.

Peter White told Broker News that even though the FBAA is still handling queries about the new regime, its members have generally had a positive reaction to complying with the National Consumer Credit Protection Act, following its introduction on 1 July.

"People are getting to grips with the new regime," he said. "The main priority for most brokers now is applying for licenses befiore the end of the year."

White said there is a fairly even spread between FBAA members who are applying for a full Australian Crecit License, and those choosing to be a credit representative of another ACL holder, although he does caution it will be some time before the final split becomes clear.

"Some people are very clear that they want to be in control of their own destiny; others think the compliance side is too onerous and are becoming credit representatives. It depends on the broker," he added.

White also commented that, while he personally favours applying for a full ACL, the FBAA is supportive of both models. He did add, however, that brokers choosing the credit representative route should ensure they have full confidence in the organisation whose license they will work under.

 

Related stories:

www.brokernews.com.au/site-search/fbaa-offers-nccp-compliance-kit/46294

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