Sophie Grace is equipped to help your business engaged in credit activities to meet its obligations under the new national consumer credit laws.
All businesses engaged in certain credit activities are required to have an Australian Credit Licence (ACL) and must not trade without one.
The businesses that require an Australian Credit Licence (ACL) are:
- credit providers;
- lendors and lessors;
- credit service providers;
- finance brokers;
- mortgage managers or aggregators; and
- other intermediaries.
Having an ACL attracts a number of obligations. Sophie Grace can assist your business with obtaining an ACL and meeting the obligations imposed under the laws and regulations, including responsible lending requirements and disclosure obligations.
ASIC regulate and enforce the licensing regime. Among other things, ASIC has the power to suspend or cancel an ACL with or without a hearing (depending on the circumstances), to make orders banning any person from engaging in credit activities and to make adverse publicity orders.
Criminal penalties of up to five years imprisonment and civil penalties of up to $220,000 for an individual and $1.1 million for a corporation will also apply to certain breaches of the ACL regime.
If you would like to obtain further information or assistance, please contact Sophie Grace directly.