Brokers are being urged to remain alert to dishonest credit repair and debt management organisations to help better protect their clients.
ASIC recently announced a review into the credit repair and debt management sector following reports of dishonest practices.
The exploitation of vulnerable customers is being weeded out by the regulator after it claimed some organisations were not meeting debt management terms, charging high fees, or not communicating adequately with customers.
The Australian Retail Credit Association (Arca) welcomed the ASIC review and said tougher laws are needed to protect vulnerable consumers.
The credit reporting and consumer data association urged brokers to be wary of these shady…