Australian Bankers’ Association welcomes transfer
 of all consumer credit to the Commonwealth

Sydney, 3 July, 2008: The Australian Bankers’ Association (ABA) today congratulated the State, Territory and Commonwealth Governments for reaching the important agreement that the Commonwealth will assume responsibility for the regulation of all consumer credit.

The ABA applauds the decision and looks forward to an opportunity to work with the States, Territories and Commonwealth Governments over the coming months on developing the detailed regulatory proposals around how this agreement will be implemented.

The ABA reiterates its call that the Consumer Credit Code (UCCC) be re-enacted as a stand-alone Commonwealth statute and that the new regulation should not be incorporated into Chapter 7 of the Corporations Act (FSR).

Such a move will benefit consumers who are already familiar with the terms of the code and will benefit businesses by minimising transition and compliance costs, in keeping with some of the themes announced at the COAG meeting today.

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ENDS