- “These serviceability rates are reviewed from time to time in line with what’s going on in the market. These rates will vary from bank to bank depending on a number of factors including their particular risk appetite and exposure to certain types of lending. Ultimately it’s all about lending responsibly and doing the right thing... Read more »
- “It is critical to allow the time to ensure that the legislation and regulations are workable and proportionately address the identified issues, and that financial institutions and their intermediaries have sufficient time to ensure compliance with whatever is set as the final regime.”
- In its submission the New Zealand Bankers Association’s deputy chief executive and general counsel Antony Buick-Constable said while it supported the underpinning policy goal of the bill – to treat consumers fairly through the lifecycle of financial products – the bill itself needed significant refinement to ensure a clear framework was developed.
- Roger Beaumont, chief executive of the New Zealand Bankers’ Association (NZBA) expected an increase in loans made by banks under the guarantee scheme in the coming weeks. “As people get through the immediate survival period, they will be able to think about their longer term position.”
- His analysis is similar to other criticisms of the RBNZ’s proposals and the supporting research, including analysis by former Treasury Secretary Graham Scott on behalf of the NZ Bankers’ Association and former RBNZ official Ian Harrison.
- Of those surveyed 62 per cent had a positive attitude towards banks, up two percentage points on the February research and 17 per cent were negative down four percentage points. Those who described the banks as helpful pointed to the mortgage deferral scheme and good communication from the banks.
- “It’s important to note that banks continue to provide credit through the deferral period while the customer has the peace of mind of not having to repay interest or principal.”
- New Zealand Bankers’ Association chief executive Roger Beaumont said generally, financial elder abuse included wrongful use of older people’s money, property and other assets.
- New Zealand Bankers’ Association chief executive Roger Beaumont said the rates were higher because the loans were unsecured – there is no house or car for the bank to sell to recover debt if you stop paying.
- This is supported by NZ Bankers’ Association figures showing more than 61,400 customers have opted to reduce repayments on loans worth about $20 billion – and another 54,200 borrowers have deferred payments altogether on loans of $19.1 billion.
