Legislation and industry guidance allows for self-audit to ensure you are meeting your obligations.
However, expectations from lenders and aggregators are getting higher and ASIC's Responsible Lending/Best Interests Duty Obligations, RG273 requiring "independent review" on loan files.
One way to demonstrate this is to have loan files reviewed by an independent third party at least once every 12 months. By conducting consistent independent compliance audits, brokers can identify areas where training may be required and ensure their internal processes align with industry best practices.
You can outsource your credit files for review by QED Risk Services - independent file audits with comprehensive reporting, corrective action tracking, and breach registration.
The QED Audit Team examines credit files for:
- Servicing: ensuring brokers are using their own calculator to determine affordability, as required by law.
- Disclosure Documents (Credit Guide, Credit Proposal Disclosure Document, Credit Quote): must meet the standards laid out in responsible lending disclosure obligations.
- ID documents: verifying the accuracy and authenticity of consumer identification, which helps brokers meet their ethical obligations to lenders and prevents fraud in the financial sector.
- Requirements and Objectives (The Consumer's Story): evidence of conversations that have uncovered the reasons behind the consumer's request, to ensure that the product offered is in the consumer's best interest.
Through our team of experts, we provide low-cost, independent audits to ensure you are fulfilling on all your compliance obligations. The reports created through these file audits can provide further insight into your business' processes, and guidance for improvements in line with industry best practice. This service complements your CompliFast quarterly self-assessments delivering a holistic approach for your ongoing compliance.
QED's Audit Service is extremely cost-effective and our team has the most experience of any other independent provider in the Australian marketplace. You won't find a better price for independent loan file auditing.
Call the CompliFast Team today on 1300 817 662 Option 1.
