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The Mortgage & Finance Association of Australia has listed its demands of the major political parties in the lead-up to next month’s federal election.
The association has called for the new federal government to launch an enquiry into the finance sector, with particular focus on the growing dominance of the major lenders.
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The MFAA said the ban on exit fees pushed through by the Gillard government had “simply strengthened the major banks’ position and further damaged the position of the smaller non-bank lenders and mortgage managers”.
While the MFAA expressed its continued support of the NCCP reforms, the association also stated its concerns regarding excessive regulation in what it describes as a now well-regulated sector.
“We are concerned that future attempts to regulate the providers (lenders) and recommenders (brokers) of finance for small business will simply make it more difficult for small businesses to access finance,” the MFAA’s submission to government read.
The MFAA said no further amendments of NCCP should be considered until at least 2016.
The association also expressed concern regarding the further tightening of “banned” terms under NCCP, saying it would have negative consequences for the industry.
“We believe that businesses are being unduly stultified in their operations and promotions by the extended-by-interpretation banning of the use of certain words under the NCCP,” the submission read.
MFAA chief executive officer Phil Naylor, said the organisation would follow up its submissions with each of the major parties during the election campaign.
“We need to ensure that competition and economic growth are maintained and not suppressed under the new government,” he said.
