The Consumer Credit and Financial Services Law Reform Bill (the Bill), introduced into Parliament this month, will require more people to register as financial service providers.
Those affected are likely to include persons or companies who provide vendor financing as part of their main business.
Wider definition of “credit contract”
- extends the Registrar’s powers of inspection to seek any information necessary to determine whether a financial service provider should be registered, including whether an application should be referred to the FMA, and
- disqualifies from registration anyone with overseas criminal convictions within the last five years for theft, fraud or money laundering (persons convicted within New Zealand are already disqualified).
“Responsible lending” principles