Ferratum Australia acts honestly and with integrity and treats all borrowers fairly and reasonably. We will base our lending decisions on a careful and prudent assessment of a borrower's financial position, capacity to repay a loan and whether the borrower's requirements and objectives will be met by the loan.
Our responsible approach to lending is based on (but not limited to) three key aspects of assessment to ensure credit is being provided responsibly. These are:
- Assessing the suitability of the customer in line with Ferratum’s credit policy;
- Assessing a person’s capacity to repay the proposed loan without financial hardship; and
- Assessing whether the loan will not be unsuitable.
Laws are designed to prohibit irresponsible lending by credit providers. It is illegal for a credit provider to extend credit to a borrower that is unsuitable, for their needs and financial capacity or which does not meet the consumer's, requirements and objectives. Generally, Ferratum Australia will only lend amount where we believe, on the information available to us, that the borrower can reasonably afford to repay the loan without financial hardship. We expect customers to provide honest and accurate information to us when applying for a loan, so that we are in a reasonable position to make these assessments and remind customers it may be an offence to provide false information on an application for credit.
Customers must be allowed to ‘’opt out” of receiving unsolicited product offers in their dealings with Ferratum. All licensed credit providers must be members of an alternative dispute resolution scheme with the powers to resolve disputes with redress to the courts. Ferratum Australia Pty Ltd is a member of the Credit Ombudsman Service, also known as COSL.
Compliance with responsible lending practices requires an assessment and verification of a customer’s credit needs and financial circumstances. Ferratum will also undertake independent checks of information provided to Ferratum by the customer. This assessment will only be conducted when an individual makes a formal loan application.
When a loan application is being processed the highest standard of disclosure and procedural fairness will be adhered to. This includes:
- Complete transparency of all interest, fees and charges; and
- How the debt can be repaid.