New Payday Loan Laws in Australia Would Enforce "Responsible Lending" Practices

The Minister for Superannuation and Corporate Law,completely informed choice whether to loan and what
Nick Sherry, released a draft of the new legislationthe loan terms and fees actually consist of. This
designed to increase responsible lending to Australianmeans no more hidden fees, charges or policies we
consumers. This is good news! It is terrible we evenare unaware of.
need to worry, but the sad fact is online payday loans2. More stringent lending by the consumer.
in Australia, have traditionally been plagued byThe new law would also require more information
schemes and scams. Here we are in trouble andfrom us, the consumer. This would include credit
needing emergency cash to get us through till the nextchecking. This is also good. We need to constantly be
payday, and we get taken advantage of in ourwatching our financial and lending habits, and more
desperation.accountability for the lender and borrower just helps us
The new proposed law would try and increasestay viable, and out of financial trouble.There is nothing
responsible lending in two ways;wrong with needing a cash advance or emergency
1. More accountability for lenders.cash obviously. But realizing that the nature of payday
This legislation will demand that only payday loanloans are short term and not meant to solve long term
companies that are following "responsible lending"financial trouble is important for our financial health.
guidelines can get licensed and that unlicensed vendorsSo good on the Australia Government for trying to
would now be criminal. Short term loan companies thatmake online payday loans safer and scam free. All in
are in compliance will need to give more information upall, the proposed laws are great for Australian
front. This will allow us in Australia to make aconsumers and for the payday loan industry in general.