On 12 December the Treasurer, the Hon Wayne Swan, announced a package of measures relating to the banking system. One of these measures was the requirement for lenders to provide a key fact sheet for new home loan customers. The sheet is expected to contain information on the fees and interest that the consumer is signing up to over the life of the loan, as well as the lowest published competitor rate. Lenders will be required to clearly explain to customers what is meant by every item on the fact sheet. The Prime Minister granted an exemption from the need to prepare a Regulation Impact Statement (RIS) for initial consideration of this issue, but a RIS was prepared for the final decision.
- Requiring a home loan ‘key facts’ document and standard terminology – PDF version [
482 kb] - Requiring a home loan ‘key facts’ document and standard terminology – RTF version [
1 mb]
The OBPR assessed the RIS as adequate.