fiona guthrie, financial counselling australia - discussing hardship in broader terms where credit...
DESCRIPTION
Fiona Guthrie, Chief Executive Officer, Financial Counselling Australia delivered this presentation at the inaugural Financial Hardship Forum. The Forum convenes the banking and credit sector, plus regulatory, compliance and resolution agencies, to address changes in financial circumstances for consumers and businesses. For more information, please visit http://www.informa.com.au/finhardshipTRANSCRIPT
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
19th March 2014
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
Financial
Counselling
Australia is the
peak body for
financial
counsellors in
Australia.
Discussing Hardship in
Broader Terms where Credit
Code Type Protections Do Not
Exist
2
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
Topics
1. Why this conversation matters
2. Progress to date
3. Where to next?
Financial
counsellors:
providing
information,
support and
advocacy to
people in financial
difficulty .
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
Why This Conversation Matters
Financial
counsellors:
providing
information,
support and
advocacy to
people in financial
difficulty .
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
There has been significant
progress …
Financial
counsellors:
providing
information,
support and
advocacy to
people in financial
difficulty .
Bulk Debt Project
11
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
Financial
counsellors:
providing
information,
support and
advocacy to
people in financial
difficulty
Continuing the Conversation:
What Next?
13
14
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
Financial
Counseling
Australia is the
peak body for
financial
counsellors in
Australia.
“Financial hardship” is when a customer is willing and has the intention to pay, but is unable to meet their repayments or existing financial obligations …
and with formal hardship assistance, a customer’s financial situation can be restored.
Financial
counsellors:
providing
information,
support and
advocacy to
people in financial
difficulty .
15
What the Code Says
Unable to meet
obligations?
Can the lender
assist?
Triggers a
positive
obligation
What the Code Says A Practical Way of Looking at This
Unable to meet
obligations?
Can the lender
assist?
Triggers a
positive
obligation
• Want to pay but can’t (it is
just a matter of degree)
• Stop angst around definition
• Easier to understand
“notice”
• Move the focus to here
• Come to a workable way of
dealing with simple
arrangements
• More clarity around the “may”