Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 

National slaps loan sharks with a dead fish

National slaps loan sharks with a dead fish

The Government is claiming the Responsible Lending Guidelines will ensure responsible lenders and provide protection for borrowers.

Child Poverty Action Group welcomes information about the dispute resolution services that are available to consumers at no cost, but we object to the pretence that the Guidelines will address the issues of finance companies making loans with cripplingly high interest rates, punitive default conditions, and excessive security and powers of repossession.

The use of the words: “fair” and “reasonable” in the Guidelines do not mean those standards are met by lenders.

A loan shark thinks it is fair and reasonable to double the interest if repayment is late, and to itemise as security everything that is removable in the borrower’s home, including the children’s beds and bedding.

A loan shark thinks it is fair and reasonable to lend more than a family can afford to repay, and then lend more at a higher interest rate so the family can make the repayments on the first loan.

A loan shark thinks it is fair and reasonable to charge 10% interest per week. And this Government agrees that 500% interest per year is not a crime.

New Zealand is one of the few countries in the OECD who has continued to deny the most vulnerable citizens the protection of a capped interest rate. The Guidelines slap loan sharks with a dead fish, and sidestep the very real need for the Government to cap interest rates.

See the Financial Services Federation Guidelines at: www.fsf.org.nz.

See the Community Coalition to Stop Loan Sharks.

ENDS

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Case For Nationalising Our Urban Bus Services


When it comes to funding and managing public transport, should local government or central government bear most of the responsibility for delivering a quality service? Ratepayers or taxpayers? Those basic questions re-surfaced yesterday, after the government announced its intention to scrap the Public Transport Operating Model (PTOM) imposed by the last National government in 2013. That model had required councils to use private contractors to run the buses, via a cut-throat competitive tendering process...
More>>




 
 

School Strike 4 Climate: Intergenerational Climate Strike On September 23rd
Once again School Strike for climate Ōtautahi (Christchurch) is asking all students to unite in a call to all council candidates to #voteclimate. Happening on Friday 23rd of September... More>>

Privacy Commissioner: Public Input Sought To Inform Privacy Rules For Biometrics
Privacy Commissioner Michael Webster is encouraging New Zealanders to have their say on the use of biometric information in Aotearoa New Zealand... More>>

National: Food Prices Climb Taking Kiwis Backwards
Kiwi families continue to battle runaway food prices, National’s Finance spokesperson Nicola Willis says... More>>

Human Rights Commission: Urgent Government Action Needed To Support Renters’ Human Rights
An immediate freeze on rent increases could give renters some reprieve during the cost-of-living crisis says Te Kahui Tika Tangata, the Human Rights Commission... More>>


Government: Creating Sustainable Public Transport For All
Workers and public transport users are at the heart of the new Sustainable Public Transport Framework, Transport Minister Michael Wood announced today... More>>

Government: Tax Break To Boost Long-term Rental Supply
The Government is encouraging more long-term rental options by giving developers tax relief for as long as the homes are held as long-term rentals, the Housing Minister Megan Woods has announced... More>>

 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels