Author: Philip vanDyk

Banks are in very early stage talks with the Government about potentially providing investment funding through a Business Growth Fund announced in Thursday’s Budget to support small and medium sized enterprises, the New Zealand Bankers’ Association says.

“Discussions with some banks on a potential Business Growth Fund are at a very early stage. No agreements or commitments to participate have yet been reached.”

‘Not good enough’ is the summation of the Bankers’ Association when it comes to the Government’s tweaks on the CCCFA. Chief executive Roger Beaumont joined Mike Hosking.

“The Government’s tweaks to the CCCFA lending rules announced in March are just a band aid. We don’t think the tweaks 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… Read more »

The New Zealand Bankers Association said 44 per cent of people with home loans were ahead and paying more than the minimum in repayments. About 1.2 million Kiwis currently had a mortgage.

“The new rules have a one-size-fits-all approach for all lenders and all loan types and values, which has seriously impacted people applying for home loans. The new rules require banks to collect and verify much more information from customers, and the prescriptive approach means banks don’t have the same discretion or flexibility they used to.”