Author: Philip vanDyk

Banking industry welcomes spotlight on regulatory barriers to competition

The New Zealand Banking Association today welcomed the Commerce Commission’s final report on its market study into personal banking services, especially its focus on regulatory barriers to increased competition in the sector. New Zealand Banking Association chief executive Roger Beaumont says: “The Commission has taken a well-informed and considered approach to the market study, which… Read more »

Banks deny airbrushing data ahead of inquiries

The New Zealand Banking Association labelled as “outrageous” claims its members misled the Reserve Bank in their most recent reporting of credit availability to the rural sector.

Bankers’ personal liabilities under CCCFA to remain

The NZBA’s Beaumont also has concerns around personal liability and its impact on lending decisions. “This likely creates a zero-tolerance for any potential breach, which could result in an overly conservative approach to lending under the [CCCF] Act, and may in turn make accessing consumer credit unnecessarily difficult. It could also mean consumers who could… Read more »

CCCFA ‘fixed’ but govt refuses to scrap personal liability for lenders

“We think banks should be accountable for CCCFA compliance as entities, rather than having liability targeted at individuals.” Beaumont says disclosure obligations, which include punitive penalties even when there is no material impact on the borrower, are another problem.

Panic over planned beef-up of privacy laws

The Banking Association was one of several organisations that sought to persuade MPs the new laws would subject the public to “notification fatigue” as they were inundated with notifications. Instead, it told MPs, banks should be allowed to tell customers in their privacy statements that they will share information, and there be a legal duty… Read more »

Banks welcome lending regulation changes

“Removing the overly prescriptive regulations and updating the Responsible Lending Code will help bring back flexibility and discretion for banks to help customers,” Beaumont said.