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Stretch credit code to cover small business: Sayer

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Australian Broker | 19 Oct 2012, 09:30 AM Agree 0
Mortgage House CEO Ken Sayer has claimed the national credit code should cover self-employed mum and dads, who he says are at risk from banks who promised to support them
  • Peter | 19 Oct 2012, 10:33 AM Agree 0
    Ken cannot be serious! Does he understand small business and the legislative minefield they are already in without legislation making it more complex. The affect on Brokers will be greater than the effect on the banks. Access to funding is critical so it does not need to get more difficult.
  • the Banks are your client | 19 Oct 2012, 10:41 AM Agree 0
    Agree w8ith Ken on this one. Self employed operators are generally no more financially sophisticated than the traditional credit "consumer" and should be protected under the same guidelines and rules. They are ordinary people trying to self-sustain and in doing so avoid a drain on the social system. At least give them a fair go.
  • Keith Bridges | 19 Oct 2012, 10:50 AM Agree 0
    This is rubbish. Near every small business is hurting in this environment.
  • Broker Tony | 19 Oct 2012, 10:51 AM Agree 0
    Small business owners are already covered by NCCP where their borrowings are for personal purposes. If their borrowings are for commercial purposes they are far better off having access to funds than being regulated out of business when banks won't take a commercial decision and lend to them. Regulation along NCCP lines will do nothing to improve access to finance for small businesses. I share Mr Sayers low opinion of bank loyalty and responsibility to their small business clients but extra regulation is not the solution.
  • Country Broker | 19 Oct 2012, 11:07 AM Agree 0
    what ken sayer is saying regarding the banks and their commercial properties is probably correct in regards to banks and their lending policies and revaluations.
    Commercial lending has always been the same, what commercial clients need to do is READ THE TEMRS and CONDITIONS of their loans ,these are NOT home loans and commercial borrowers need to be aware of that .

    If tnere is a home securing the deals that is quite concerning , but cleints on the commercial space are usually aware of the pit falls

    i cannot agree with ken Sayer for thses reasons, what is not needed is regulation in the Commercial space , it will cause so many problems with restriction of aplications businesses will find it jhard to fund their needs. small business lending up to 500,000 may be another matter, particulary when it is secured against an owner occupied property.
  • sidbroker | 19 Oct 2012, 11:08 AM Agree 0
    WHO IN THEIR RIGHT MIND WOULD BE SUPPORTIVE OF NCCP IN ANY WAY SHAPE OR FORM. IT IS A BLIGHT ON AUSTRALIANS AND WAS INFLICTED ON US UNDER THE LABOR GOVT. WHO CLEARLY ARE THE WORST MONEY MANAGERS OF ALL TIME.
  • ozboy | 19 Oct 2012, 02:56 PM Agree 0
    Be careful what you wish for. Mr Sayer this would cover all your franchisee's that borrow to but a Mortgage House brand....you wouldn't want that would you?
  • Steve McClure | 23 Oct 2012, 12:40 PM Agree 0
    Newsflash Ken, mums and dads are pretty smart people. They know how to assess their own risk and they make crucial decisions every day, business and personal. They, like me dont want to see others being taken advantage of, but they are savvy enough in business to know how to get on with life and try and avoid being strangled in red tape.

    Really you are addressing a minute number of cases, and an even smaller percentage that end up on 7:30 television. Instead of overcapitalising in legislation, lets invest in client education. This requires time in front of a client, not more compliance data input.
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