The Federal Court has ordered the Commonwealth Bank of Australia (CBA) to pay a $150,000 penalty after the Court found the bank breached the responsible lending provisions of the National Consumer Credit Protection Act 2009 (National Credit Act).
The penalty is for failures to take account of a notification by a customer (Mr Harris) that he was a problem gambler and to take reasonable steps to verify his financial situation before offering and approving a credit card limit increase.
The National Credit Act provides consumer protections to ensure credit providers make reasonable inquiries about a borrowers financial situation before assessing whether a loan contract is suitable for them.
ASICs investigation related to a credit limit …
Read the full article at: https://www.miragenews.com/cba-ordered-to-pay-150-000-for-credit-limit-increase-provided-to-problem-gambler/