Banking Day- by John Kavanagh
The Australian Government will restrict the type of consumer leases that consumers can pay for using Centrepay payments, but will increase the number of low-cost finance options Centrepay supports.
The Minister for Human Services, Marise Payne, announced on Friday that the measures were designed to protect vulnerable customers.
Consumer advocates have long complained about certain personal finance arrangements that involve direct debits from Centrepay, which is a service designed for Centrelink customers who want to pay bills as regular deductions. Consumer Action Law Centre and Financial Rights Legal Centre issued a joint statement on Friday welcoming the changes. However, the groups called on the Government to extend the restriction to all consumer lease and rent-to-buy products.
Read the entire article here: Centrepay lease payment arrangements tightened