The Commerce Commission has finalised the criteria it will use to assess whether a lender is ‘fit and proper’ under changes to the Credit Contracts and Consumer Finance Act (CCCF Act) after receiving submissions from interested stakeholders.

The confirmed ‘fit and proper’ criteria focus on whether all directors and senior managers of lenders and mobile traders are competent, financially sound, honest, reputable, reliable and competent to do the job. 

The Commission intends to publish a ‘fit and proper’ certification guidance document in late 2020. This guidance will assist lenders and mobile traders to understand how to make an application and how the Commission will apply the criteria in assessing whether individuals are fit and proper.