ASIC moves on credit licensing
The Australian Securities and Investments Commission (ASIC) has made its first move towards licensing consumer credit businesses as part of the transition to new national consumer credit laws.
As of 30 June 2011, ASIC had licensed 24,000 credit representatives and 6081 businesses, 564 of which provided financial planning services.
ASIC Commissioner Peter Boxall said the new laws officially came into effect as of 1 July 2011, meaning all businesses that provide consumer credit services now need to be licensed.
ASIC had to formally refuse four licence applications, impose additional compliance conditions on 11 licences, and ask many applicants to submit compliance plans before receiving their licences.
The majority of licences were distributed to firms in New South Wales (37 per cent), followed by Victoria (23 per cent), Queensland (20 per cent) and Western Australia (13 per cent).
ASIC announced it would be conducting continuing compliance and surveillance work, including a national program to identify unregistered and unlicensed credit activity through those companies advertising credit services without a licence.
It would also be focusing on responsible lending in the home loan and payday lending markets, consumer leases for white goods and other domestic goods, and debt reduction and consolidation schemes.
Recommended for you
The central bank has released its decision on the official cash rate following its November monetary policy meeting.
ASIC has cancelled the AFSL of a Melbourne-based managed investment scheme operator over a failure to pay industry levies and meet its statutory audit and financial reporting lodgement obligations.
Melbourne advice firm Hewison Private Wealth has marked four decades of service after making its start in 1985 as a “truly independent advice business” in a largely product-led market.
HLB Mann Judd Perth has announced its acquisition of a WA business advisory firm, growing its presence in the region, along with 10 appointments across the firm’s national network.
