ASIC is continuing its enforcement of the National Credit Act responsible lending provisions.

ASIC has announced that lender Abaz Pty Ltd, which offers loans nationally through the ‘www.moneyplus.com.au’ website, has paid a $42,500 penalty after ASIC issued it with an infringement notice for failing to obtain required account statements from consumers.

Section 128(d) requires credit licensees to make the inquiries and verification in accordance with section 130.

Section 130(1A) requires that small amount lenders must obtain and consider consumers’ bank statements from authorised deposit-taking institutions (ADIs) (i.e. banks, credit unions and building societies) into which income payable to the consumer is credited that cover at least the last 90 days.

ASIC says that Abaz has updated its responsible lending policies and procedures to comply with the requirements and has appointed an independent compliance consultant to review these practices.