ASIC has outlined its key mortgage industry focus areas for 2013, saying emphasis will be placed on reviewing issues like low doc lending and credit market advertising.
In a statement released to Australian Broker Online, ASIC spokesman Daniel Wright says the industry watchdog plans to:
• Review of how aggregators and others with large numbers of representatives are monitoring and supervising the conduct of their authorised representatives, particularly in relation to responsible lending;
• Review how lenders are managing responsible lending in home lending, again particularly where loans are marketed as low doc;
• Review of how industry is complying with national credit code requirements in relation to hardship variations;
• Monitor advertising across the credit market; and
• Review individual complaints and issues arising in EDR and responding as appropriate.
Wright says that ASIC will continue to concentrate on the mortgage broking industry and ensure that brokers are adhering to the new laws.
“We stress that brokers must familiarise themselves with their obligations under the National Credit Act. They should know the law, read our guidance and seek additional/external advice if they feel they need it.”