Month: June 2022

CoFI bill changes welcomed by advisers body

“Financial institutions are in contractual relationships with intermediaries,” the association wrote.  “Intermediaries are not their employees or contractors, and financial institutions do not have the ability to “manage” or “supervise” intermediaries outside of what is contractually agreed on a case-by-case basis.” The NZBA called for “monitoring”, rather than “managing” and “supervising”, intermediaries.

Government changes to CCCFA locked in

“While we agree with the government’s aim to protect vulnerable consumers from unscrupulous lenders, the one-size-fits-all approach for all lenders and all loan types means banks don’t have the same discretion or flexibility they used to.”

Amendments to the troubled credit rule changes last year will come into force on July 7, but the NZ Bankers’ Association says the ‘rushed’ attempt to fix the problems won’t make things easier for would-be borrowers

“We don’t think the tweaks published today will make a big difference for most borrowers. That’s because most of the existing requirements remain in place, meaning customers will still have to provide detailed information about their spending, resulting in a more painstaking process and more loan applications being declined than before the December rule change.”

Government locks in CCCFA changes; banks want lending rules relaxed even more

“Most of the existing requirements remain in place, meaning customers will still have to provide detailed information about their spending, resulting in a more painstaking process and more loan applications being declined than before the December rule change,” Beaumont said.

Changes to lending rules to be in place soon

New Zealand Bankers’ Association chief executive Roger Beaumont said the delay probably would not make much difference because the “proposed tweaks” would not change much.