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Protection for Vulnerable Families Lacking

Le'aufa'amulia Asenati

Lole-Taylor

Spokesperson for Social Policy/Welfare
20 February 2014

Protection for Vulnerable Families Lacking

The Government is not doing enough to protect vulnerable, low-income families from unscrupulous loan companies, says New Zealand First.

In Parliament today spokesperson for social policy and welfare Le'aufa'amulia Asenati Lole-Taylor raised the case of Auckland families being subject to high fees while saving for housing loans.

“Auckland families who are working hard and saving regularly towards buying a home are falling victim to overcharging loan companies.

“The Government needs to bite the bullet, regulate adequately and monitor loan companies.

“Some families are being unfairly faced with fees of $20 a week on their savings of $50 during that same period.

“In one case a loan company is demanding a family pays an exorbitant fee to access their savings. It is also pushing the family into buying a house in an unacceptable area.

“The company they put their trust, and their savings into, uses biblical language to entice people in but their promises are hollow.

“The Minister for Consumer Affairs, Craig Foss, was unable today to provide details of any system that is in place to protect the savings of hard-working New Zealanders – his government is failing miserably to address these problems,” says Mrs Lole-Taylor.

ENDS

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