Ministry of Justice
“We are very open to have conversations, but so far there’s no regulator which has consulted publicly on it.”
Scott-Howman stresses the importance of security of people’s financial data.
“Banks are particularly interested in the borrower’s ability to repay the loan, and the security provided for the loan. People seeking home loans need to be up front with the bank about their personal circumstances, such as existing financial obligations and outgoings.”
“We’re particularly pleased that the FMA has confirmed there are no systemic conduct issues around the use of the benchmark. That provides an assurance that banks can use the rate with confidence,” Scott-Howman says.
Reserve Bank of New Zealand (more…)
NZBA has come out against the Reserve Bank adding a debt-to-income ratio tool to its macro-prudential toolkit. But the bank lobby group has suggested a serviceability interest rate, or SIR, as a potential alternative.
The New Zealand Bankers’ Association has repeatedly denied claims its members apply “blanket de-risking” policies. Rather it says banks consider prospective clients’ risks on a case-by-case basis.
“They only provide information to the Police when they receive a production order that legally requires them to provide information or when the request complies with the Privacy Act.”
Reserve Bank of New Zealand
Reserve Bank of New Zealand