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New hardship laws a real shocker for industry: Denovan

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Australian Broker | 09 Apr 2013, 08:30 AM Agree 0
An industry figure has labelled new hardship provisions "a real shocker" that could end up locking borrowers out of credit
  • SIDBROKER | 09 Apr 2013, 10:22 AM Agree 0
    WOW, Is this not what trigered GFC in the first place. WOW Mr. Swan does your stupity have any limit at all.
  • Country Broker | 09 Apr 2013, 10:24 AM Agree 0
    If they do not deal sensibly with this and amend these provisions , we potentially will see no 95% loans , and LMI premiums rising ( already happening) , what were the lobbyists who represent the lenders thinking or doing ??
  • Chris C | 09 Apr 2013, 10:29 AM Agree 0
    This is a cop out for the legislators....the solicitors who write this stuff. All this will do is create more legal fees that Banks and the Consumer will have to pay when the so called verbal advice is disputed or questioned as to its validity under this law. What ever happend to NCCP refgulations - everything has to be upfront and on paper and fully assessed for validity and correctness.
  • Observer | 09 Apr 2013, 11:13 AM Agree 0
    Could not agree with Jon more on this.

    To make matters worse, we have borrowers going directly to COSL (because the prescribed notice says they can) without any discussions with us the lender. COSL is not supposed to open a complaint unless the borrower has been through our Internal Disputes Resolution Scheme. However COSL coinsistently does do this resulting in further delays, increased complaints recorded against us, and of course they then charge us a fee for the privilege.
    Lenders are therefor better off not talking to the borrower at all, just following a speedy legal process which is ultimately to the detriment of the borrower.
  • SIDBROKER | 09 Apr 2013, 07:13 PM Agree 0
    Oh, and the MFAA will take up the good fight. What a national joke. Just like they stopped incongrous NCCP in the first place.
  • James G | 09 Apr 2013, 11:42 PM Agree 0
    The best thing about this article is Jon glasses... :)
  • OzBoy | 10 Apr 2013, 09:49 AM Agree 0
    Yep we can all carry on about the NCCP (well the same people over and over, yes we know who you are and yes we know you don't like it) but the bottom line is if everybody in the lending space did the right thing from the start then the NCCP wouldn't be needed, we didn't so therefore here it is.

    Lenders being trigger happy in the old days has lead to the pendulum swinging back too far the other way but we only have ourselves to blame. Jon and Gadens have built a business off the actions by lenders so his comments could be seen as a conflict of interest....another NCCP initiative.
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