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Responsible lending

June

Helia chief executive Pauline Blight-Johnston is departing the lenders mortgage insurance company.

Helia reviewed ‘circumstances’ of CEO’s share sale before departure

Helia, formerly known as Genworth, quietly investigated its CEO Pauline Blight-Johnston over the sale of shares before the loss of a major contract and her resignation.

Nick Molnar, co-founder of Afterpay, says regulation will legitimise BNPL allowing it to compete with everyday spending using credit cards.

Why Afterpay could be coming to a supermarket checkout near you

Eight years after the first calls to bring BNPL under credit laws, Nick Molnar says the new regime will help it compete more aggressively with credit cards.

April

Brookfield’s Stewart Upson.

Brookfield lifts the lid on $3b La Trobe’s riches; roadshow commences

The business has been pitched as “highly profitable” with EBITDA margins of 71 per cent and a return-on-equity of greater than 70 per cent.

March

Peter McMullin chairs Good Return and is an investor.

Impact investor Good Return, backed by Spotless scion, preps new fund

The new fund’s minimum investment size is $20,000 and proceeds would be used to guarantee and de-risk loans from lenders to female-led businesses.

Chris Andrews, CEO, La Trobe Financial

Brookfield-backed La Trobe selects advisers for strategic review

Morgan Stanley and UBS were appointed in recent days to canvass options for the firm, which has $20 billion in assets under management.

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Cosima Marriner, Editor, The Australian Financial Review, Richard Harris, Partner, Gilbert + Tobin ,Luci Ellis, Chief Economist, Westpac Banking Group Anna Bligh, CEO, Australian Banking Association and Jonathan Mott, Partner & Head of Banks Research, Barrenjoey.

Australia must heed turning tide of banking regulations abroad

APRA’s regulatory mission creep is unlikely to help banks and insurers compete more effectively against nimble start-ups and tech giants expanding into financial services.

CBA says responsible lending rules shield it from rampant liar loans

The bank’s retail boss, Angus Sullivan, says there are, however, “a few areas” where a banker could coax someone through an application, so it needs to remain alert.

October 2024

Dan Gallen is the chief investment officer of Pallas Capital.

Goldman Sachs refinances Pallas Capital’s $500m facility

It comes after Pallas in July lured Westpac NZ to refinance a $NZ400 million facility focused on Kiwi small-to-medium enterprise borrowers.

Major banks have split on prudential policy settings.

Banking regulator rejects calls to cut home loan interest rate buffer

APRA chairman John Lonsdale has hit back at the Australian Banking Association at a parliamentary hearing on Friday.

The lobby group for the banks says a lower serviceability buffer will allow first-time buyers to borrow more.

Calls to reduce 3pc home loan bank buffer test

The Australian Banking Association says more people will be able to access the property market if the prudential regulator is more flexible.

The private credit sector needs more scrutiny, given the information gaps facing regultors.

Revealed: How much Australia’s private credit sector is really worth

The industry’s risks to Australian financial stability are low, the RBA says. But plenty of information gaps remain, and regulators are playing catch up.

Jon Adgemis and his partner Megan MacKenzie. Five of Adgemis’ former venues are being put up for sale.

Five of Jon Adgemis’ former venues to hit the market

Colliers have been appointed to market a large chunk of the former KPMG dealmaker’s pub empire, Public Hospitality.

Delta’s Vales Point coal power station in NSW supplies 4 per cent of generation in the National Electricity Market.

Cashed-up NSW coal power owner jilted by banks

Sev.en Global’s Delta has requested an urgent change to the rules for the electricity market after being unable to extend a bank guarantee because of its coal links.

NAB has told Senators APRA serviceability buffer could be reduced for first time borrowers.

NAB calls for lower home loan buffer to help first-time buyers

In a submission to the Senate inquiry, NAB says dropping HECS-HELP debt from serviceability calculations for first home buyers would boost borrowing capacity.

ANZ boss Shayne Elliott says the regulations assume applicants “earn today’s income forever”.

Banks blocked from factoring in rising income when assessing loans

A bank boss says it is “absurd” that regulations prevent expectations that a young, professional borrower’s income will rise after they apply for a home loan.

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CBA chief executive Matt Comyn at the Trans-Tasman Business Circle lunch in Sydney on Tuesday.

Buffer or blocker? Why APRA’s serviceability rule is so controversial

CBA boss Matt Comyn has defended APRA’s prudential settings from political attacks, saying housing policy must focus on supply.

Australia’s three credit bureaus have become two.

Credit score agencies combine, creating Australia’s newest duopoly

Experian has completed its $820 million acquisition of Illion, which Experian’s CEO says will help banks assess credit risk more dynamically.

September 2024

ANZ's share trading platform app is blocked for many customers with no resolution in sight.

Open banking limps to life with ANZ customers seeking full picture

ANZ is the first major bank to use open banking to aggregate multiple accounts through its app. Ultimately, it will be used as a tool to lure new customers.

Private credit is funding 11 per cent of business lending, even as stress rises in high-exposure areas like construction and novated leases.

Private credit creeps past 10pc of business lending, RBA says

The rapid take-off in opaque private credit lending has prompted concerns in some pockets of the financial system.

Steve McCann, new CEO of Star Entertainment Group, faces a titanic struggle.

McCann’s first trick at Star is to buy time, next he needs performance

Star Entertainment’s board hired Steve McCann for his deal nous. He had to call on it sooner than we all expected.

Original URL: https://www.afr.com/topic/responsible-lending-1mqx