From Investing.com: 2024-11-17 17:00:56

Australia’s corporate watchdog, ASIC, has taken legal action against National Australia Bank for failing to respond to 345 financial hardship applications within the required 21-day period over five years.

ASIC discovered that NAB and AFSH Nominees did not meet the legal time frame for responding to customers seeking relief due to various personal challenges.

The National Credit Code mandates that lenders must consider varying a customer’s credit contract and inform them of the decision within specified time frames when notified of financial difficulties.

NAB stated that they are reviewing the ASIC proceedings and will cooperate fully with the regulator in addressing the allegations.

ASIC Chair, Joe Longo, highlighted the importance of lenders supporting customers in financial hardship, especially in the current environment of rising living costs and economic challenges.

Earlier this year, ASIC conducted a review of major lenders’ financial hardship practices, revealing significant deficiencies in identifying and assisting customers facing financial difficulties.



Read more at Investing.com: Australia regulator sues NAB for breach of financial hardship laws By Reuters