RLC submissions: consumer credit reforms
In November, RLC provided responses to the proposed suite of changes to Australia’s consumer credit framework contained in the National Consumer Credit Protection Act 2009 (Cth).
Redfern Legal Centre endorses in full the joint submission by Financial Rights Legal Centre and Consumer Action Law Centre, as well as the submission of the Economic Abuse Reference Group to which RLC’s Financial Abuse Service NSW contributed expertise.
Redfern Legal Centre has strong reservations about the proposed reforms and the rollback of a responsible lending framework that has proven effective and accessible. We have examined the exposure draft in detail and are concerned that the reforms are a significant step backwards in progressive responsible lending laws and stand in direct contrast with the recent recommendations of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.
We expect that the proposed reforms, as currently drafted, will create significant adverse impacts for our clients.