The request for feedback comes ahead of 1 October 2021 from when directors and senior managers of consumer credit providers, including mobile traders selling on credit, will need to exercise due diligence to ensure the creditor complies with its duties and obligations under the Credit Contracts and Consumer Finance Act (CCCFA).
“These guidelines help to clarify how directors and senior managers should approach the task of performing their duties,” said Commission Chair Anna Rawlings.
“This is an important new obligation. The new due diligence duty obliges and incentivises individual corporate officers to drive a culture of compliance with the CCCFA from the top down.
“We are aware that lenders are eager to understand the law and aspects of our likely approach to enforcement. We look forward to considering the public’s feedback on this draft.”
Submissions can be made through the Commission’s submission portal, with submissions closing on Friday 19 March 2021.
To view the draft guidelines visit The Commerce Commission website.