Bankers’ Association applauds loan shark prosecution

The New Zealand Bankers’ Association today applauded the prosecution of third tier lender Barry Hunt for breaches of the Credit Contracts and Consumer Finance Act.

“This is a great result. We congratulate the Commerce Commission on a successful prosecution in this case,” said New Zealand Bankers’ Association chief executive Kirk Hope.

“At last year’s Financial Summit the banking industry agreed with regulators and consumer groups that robust enforcement of existing consumer protection law is crucial to cracking down on rogue lenders who prey on vulnerable people. We need to target the problem where it lies.

“Banks are responsible lenders and we’re keen to see all lenders held to the same standards we already observe. It’s about fairness to consumers and applying existing regulations evenly across all lenders,” Hope said.

Hunt was prosecuted for a range of breaches including failing to specify the annual interest rates borrowers would pay, misleading customers about the method used to calculate the interest rate, and failing to disclose his full name and address.