NZ Lawyer
Banks support proposed changes to fix ‘anomaly’ in consumer lending law
30/06/2025
“The Reserve Bank’s analysis helps to quantify the potential risk to New Zealand’s financial system if the law is not corrected,” said Roger Beaumont.
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NZ Adviser
Product suitability, complaints, OCR moves in the FMA spotlight
28/06/2025
“Our banks take compliance with the law extremely seriously and have spent significant time and resources to develop and implement their FCPs. They’ll also continue to work closely with the FMA on the takeaways for banks raised in the report.”
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RNZ
Banks warn lending disclosure regulations threaten financial system
26/06/2025
“Between 2015 and 2019 any lender who even made a small mistake in the information provided to customers, like getting their phone number wrong, could, on one interpretation, be required to repay all the interest and fees paid until the error was corrected,” Beaumont said.
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NZ Adviser
$12.9bn lending law risk threatens NZ financial system – RBNZ
26/06/2025
“The Reserve Bank’s analysis helps to quantify the potential risk to New Zealand’s financial system if the law is not corrected. It reveals a risk of almost $13 billion in cases of incorrect disclosure where consumers may have suffered no harm. That’s money that cannot be used to lend to consumers, businesses, and farmers.”
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Lending law poses $12.9 billion threat to financial system
25/06/2025
Modelling by the Reserve Bank estimates current consumer lending law could have a $12.9 billion impact on the financial system, with the potential for an even more severe impact. Under the Credit Contracts and Consumer Finance Act lenders must provide borrowers with information about their loan. Between 2015 and 2019 any lender who even made...
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NZ Herald
Why Govt made a retrospective law change affecting a bank class action against ASB and ANZ
24/06/2025
“In a worst-case (but not fanciful) scenario, an error in a disclosure document, which has not caused any harm to consumers, could create a liability that threatens the solvency of the lender with adverse outcomes for depositors, shareholders, and the New Zealand financial system as a whole,” the association told the minister at the time,...
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RNZ
Why you can’t deposit cash into someone else’s account at the bank
16/06/2025
“The law aims to stop people trying to disguise the origin of criminal profits, such as drug trafficking or fraud,” he said. “Under the law, there are rules about verifying the source of the funds, and the identity of the person paying and the recipient.
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Business Desk
Lenders push KiwiSaver withdrawals, refer borrowers in trouble to volunteer organisations
13/06/2025
“There are several options that banks may offer in providing assistance to these customers, depending on their particular circumstances. That may, for example, include temporarily moving to interest-only repayments or suspending all repayments.”
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NZ Herald
Scams: It’s important we protect vulnerable people – Editorial
09/06/2025
The good news is that the New Zealand Banking Association is introducing new protections by November. Changes include banks being required to reimburse fraud victims up to $500,000 if they meet certain criteria, and new technology to identify risky or unusual customer transactions.
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NZ Lawyer
Three financial reform bills to rebalance the system undergo first readings
27/05/2025
“Currently any minor breach in a disclosure document, such as a wrong address, for the years 2015 to 2019 may require a full refund of interest and fees. That is not fair or proportionate compensation for customers who may not have suffered any material impact to their finances.”
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