Consumer finance & credit law
We have a dedicated Consumer Finance team focused on working with clients on National Consumer Credit Protection Act (NCCP) and National Credit Code (NCC) issues. We have a long history of product development in the consumer credit market ranging from introduction of a 'rent try buy' consumer lease offering for an ASX listed company through to the introduction of electronic loan approval documentation and contracts for online lenders.
As the consumer finance market has developed through innovation and regulation, we have been involved in projects for secured and unsecured consumer loans, consumer leases, credit cards, store cards and loyalty programs.
Responsible Managers Workshops: New regulation in the consumer finance & credit law area has had an impact on the market focusing on responsible lending and ensuring that accountability for this lies squarely at the feet of Responsible Managers, who now must accrue 20 CPD points each year to satisfy regulations in this area. DibbsBarker has designed a series of workshops which have been designed to inform, educate and encourage discussion on topics relating to the many requirements Responsible Managers need to meet under Australian Credit Licence obligations. Four workshops are run each year, giving attendees the opportunity to accrue their full 20 points.
National Consumer Credit Protection Act advice: DibbsBarker has conducted advisory and documentation roles for a range of Australian Credit Licence holders. As an example, DibbsBarker undertook the review for an Australian bank on its recovery processes which was necessitated by the NCCP reforms. In doing so, DibbsBarker undertook a complete review and rebuild of the bank's collection processes for regulated and non-regulated loan products to ensure compliance with NCCP, NCC and best industry practice.
Responsible lending: An Australian bank recently instructed us to undertake a review of its responsible lending conduct in respect of its obligation to manage conflicts of interest which may arise out of the payment of commissions.
International bank: Advised on the disclosure requirements in connection with interest subsidies and enforceability of break costs under the bank's standard terms for home and investment property loans.
ASX listed company: Advised on and introduced an Australian-first interest free loan product.
ACL Applications: Entrants into the consumer finance market have sought our advice in obtaining their Australian Credit Licence from ASIC. Subject to the client’s requirements we have adopted a turnkey approach or provided a tailored program to satisfy ASIC’s requirements in granting the Australian Credit Licence for their proposed credit activities.