During the ASIC credit licensing webcast on 15 June, ASIC announced that the licence exemption for “mere referrers” is currently being reviewed.

The issue is that the exemption in NCCP Regulation 25 is “upstream” in that it allows referrals (of credit) to be made to consumers but does not expressly allow “downstream” referrals of consumers’ details to brokers or credit providers.

If the exemption is not broadened, “downstream referrers” will need to be licensed or appointed as an authorised credit representative (assuming they provide a credit service).

Section 31 of the NCCP Act prohibits a licensee from dealing with an unlicensed person.