International Law

ASIC continues review of loans to indigenous borrowers

ASIC has announced that National Australia Bank (NAB) has agreed to tailor its lending practices in recognition of the special needs and circumstances of borrowers in regional and remote Indigenous communities.

The changes follow a review of approximately 25 loans to borrowers in remote parts of Far North Queensland, advanced by the bank during 2006.

NAB is reviewing individual loans that were the subject of ASIC?s initial review and is also undertaking a comprehensive program to assist remote communities in the Torres Strait, including:

• the development of a travelling bank where NAB employees would visit individual communities to provide banking and wealth advice;
• the development of local language assistance cards with tips for buying a car, avoiding bank fees and saving money; and
• a continued commitment to local sponsorships, such as the Torres Strait Football Cup.

ASIC and the Commonwealth Bank of Australia announced a similar review in 2006.

Full post as published by Australian Regulatory Compliance Review on January 16, 2008 (boomark / email).