The latest tranche of reforms to Australia's credit laws has been released for public comment. The Green Paper, "National Credit Reform - Enhancing confidence and fairness in Australia's credit law", sets out proposed reforms:
- enhancements to the regulation and tailored disclosure for reverse mortgages;
- extension of the National Credit Code to include disclosure requirements for consumer leases and linked credit providers;
- regulation of credit for personal use and peer to peer lending;
- regulation of various aspects of credit card lending;
- possible extension of unjust conduct provisions to credit service providers; and
- further enhancements to the National Credit Code.
The Government will also consider:
- regulation of the provision of credit to small business;
- regulation of credit for investment loans other than margin loans;
- examination of mechanisms, including state approaches to interest rate caps, to address predatory or fringe lending;
- an examination of the need for any enhancements to responsible lending provisions for post-entry conduct;
- a review of the regulation of credit advertising directed at vulnerable consumers;
- reform of mandatory comparison rates; and
- a possible review of credit licensing requirements for debt collectors.
Comments must be in by Friday, 6 August 2010.
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