ASIC has amended Regulatory Guide 209 Credit licensing: Responsible lending conduct (RG 209) to include guidance on the new responsible lending provisions under the Consumer Credit Legislation Amendment (Enhancements) Act 2012.
RG 209 now includes guidance:
- for small amount lenders when considering the presumption of substantial hardship and protected earning amount requirements
- in relation to obtaining and considering account statements when undertaking an assessment for a small amount loan
- on the responsible lending obligations for lessors
- on the responsible lending obligations for lenders offering reverse mortgages
- about the new obligation on credit providers and lessors to assess whether a credit contract or consumer lease is unsuitable for a consumer before making an unconditional representation about whether the consumer can enter a credit contract or lease, or increase the credit limit on an existing credit contract.
