What responsibilities does a lender have to me?

Under the responsible lending rules of the National Consumer Credit Protection Act, credit providers must ensure that consumers are put into credit contracts that meet their requirements and objects.

A lender must also ensure that the borrower can meet their repayment obligations without hardship.

The Australian Securities and Investments Commission has identified compliance with responsible lending obligations as a priority issue, especially where non-bank interest-only lending is involved.

Source: Banking Day

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