The Minister for Financial Services, Superannuation and Corporate Law, Chris Bowen MP,has announced updates on the implementation of the National Consumer Credit Protection Reform Package: a revised timetable and the release of draft regulations.
In so far as they impact ADI's (including credit unions and building societies) the main change is that the introduction of the changes to the existing credit code have been delayed from 1 January 2010 to 1 July 2010 to allow time for procedure, document and IT changes to be implemented.
UPDATE: Not all of the changes will be deferred to 1 July 2010, only those mentioned in the Minister's Press Release.
When the National Credit Code takes effect the changes will include:
- Application to credit for residential investment properties;
- Introduction of debit default notices;
- Amendments to business purpose declarations;
- Amendments to default notices; and
- New notices in response to application for hardship variations and postponements.
Otherwise there is no change to the existing registration and licensing timetable for the introduction of responsible lending for ADI's.