Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Credit Law Paper Released

Work on reviewing New Zealand's outdated credit laws is on track for changes to be considered by Government next year, Consumer Affairs Minister Phillida Bunkle said today.

The Ministry of Consumer Affairs has released the fourth of five discussion papers, on New Zealand consumer credit laws. The latest paper, titled Miscelleneous Issues discusses:
 making credit-related insurance provisions fairer for consumers
 creating an environment where credit can be safely and reliably obtained over the Internet
 helping consumers avoid getting into debt which they cannot pay off.

"Lenders too often compel consumers to buy insurance which is overpriced, is inappropriate in the circumstances or that doubles up on existing contents cover," Ms Bunkle said. “This allows lenders to increase the real cost of the credit at the expense of the consumer.

"This paper proposes better consumer protection for consumers entering credit deals where the lender requires insurance.

"As Minister I recognise that consumers should have some insurance cover but all the circumstances about the deal should be fair. In particular I'm concerned that consumers be able to choose their own insurer and understand what they are paying for."

The paper also supports allowing lenders to give credit electronically, but with safeguards. "Many of the issues around this will be debated through the Electronic Transactions Bill later this year."

The Minister also has concerns about people who borrow and then have trouble making repayments. "Debt is often the key factor in the poverty trap. Unmanageable debt puts people into poverty and it keeps them there. While credit law has a limited role, some legislative changes could help people stay clear of crippling debt and the cycle of despair that goes with it.

"These are issues I hope people and lenders think about as we look to bring New Zealand's credit laws into the year 2000. At the moment they are too outdated and deal insufficiently with detriment."

Submissions on the latest paper close 1 December 2000.


© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Peters/Ardern Triumph

There are a lot of good reasons to feel joyful about this outcome. It is what so many young voters – the best hope for the country’s future – wanted.

Far more important than the implications for the Economy Gods ( is the dollar up or down? ) last night’s outcome will also mean many, many vulnerable New Zealanders will have a better life over the next three years at least.

Yet the desire for change was in the majority, across the country..>>>More


Reaction

Labour on its agreement |Peters: Post-Election Announcement Speech | Greenpeace “cautiously hopeful” about new Government | ACT - Madman on the loose | E tū ecstatic | Chamber welcomes the outcome | Greens on their joining Govt | EDS welcomes new govt | Immigrant groups worry | Feds ready to engage new coalition government | Labour Ministers of the Crown announced

 

Climate: Increasing Greenhouse Emissions Hit NZ

New Zealand is seeing impacts of excess greenhouse gas emissions in our climate and oceans, according to the latest national report from the Ministry for the Environment and Stats NZ about the state of the atmosphere and climate…More>>

ALSO:


Wellington.Scoop: Arrests At Blockade Of "Weapons Expo"

“We encourage people in Wellington to get down to the Westpac Stadium now for a day of awesome peace action. There will be plenty of food, music and activities to keep us sustained through the day.” More>>

ALSO:

Rorschach Restructuring: PSA Taking Inland Revenue To Court Over Psychometrics

The Public Service Association will be seeing Inland Revenue in Employment Court over its intention to psychometrically test employees reapplying for their roles at the department as part of its controversial Business Transformation restructuring plan. More>>

ALSO:

Nuclear Disarmament: Nobel Peace Prize 2017 Awarded To ICAN

Congratulations from iCAN Aotearoa New Zealand to international iCAN, the other iCAN national campaigns and partner organisations, and the countless organisations and individuals who have worked so hard for a nuclear weapons-free world since 1945. More>>

ALSO:

Expenses: Waikato DHB CEO Resigns

An independent inquiry has identified that Dr Murray had spent more than the agreed $25K allocated for relocation costs, and other unauthorized expenses involving potential financial breaches of the chief executive’s obligations. More>>

ALSO:

Wellington.Scoop: Sad About The Trolley Buses?

The Regional Council’s MetLink is today spending money to tell us that it really loves Wellington’s trolley buses, even though they’re all being taken off our roads by the end of this month. More>>

ALSO:

Post-Election: Preliminary Coalition Talks Begin

New Zealand First will hold post-election preliminary discussions in Wellington with the National Party tomorrow morning and the Labour Party tomorrow afternoon. More>>

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election