“There are a number of factors banks take into account when considering applications for development finance. Preference is given to established builders and developers with a relationship with a bank and sound credit record. Banks also consider the quality of the intended build and the range of pre-sales.”
“New Zealand’s regulatory environment is very different from that in Australia, and the Australian-owned banks operating in New Zealand are separately governed and regulated under New Zealand law.”
Reserve Bank of New Zealand
“The issue is that you can’t create a security interest in something you don’t own,” Scott-Howman says. In these cases, it’s difficult for banks to lend without security, or lend an amount greater than the value of the security.
“Whether or not retailers choose to pass those costs on to consumers is up to them. It’s inaccurate to say that all retailers raise their prices to cover those costs. Some may do so, while others may absorb it as a cost of doing business,” chief executive Karen Scott-Howman says. And she says in countries where merchant service fees have been regulated, the evidence shows reductions haven’t been passed on to consumers.
Treasury
Justice Committee
Karen Scott-Howman, chief executive of the New Zealand Bankers’ Association, says the banks in New Zealand are really concerned about the crisis management between Australia and New Zealand.
This refers to the demand by the Reserve Bank of New Zealand that banks domiciled in New Zealand have separate computer back-up in place in case their parent banks, most of which are in Australia, should suffer a crisis. The estimated cost of this is between $NZ800 million and $NZ1 billion.
Your bank will reimburse you where someone accessed your electronic banking or your card without your authority, so long as you weren’t fraudulent or negligent, complied with their terms and conditions, and took reasonable steps to protect your banking.
“The current review of the Financial Advisers Act will build on these obligations to include more explicit customer-first obligations for financial advisers.
“We support this approach and are working closely with officials to help ensure a practical way of achieving this aim.”