Media The cautionary tale of the man who borrowed $120m with interest rates of up to 72 per cent
 
 

The cautionary tale of the man who borrowed $120m with interest rates of up to 72 per cent

2025-04-18 02:45:04| Spiritual Career Counseling

In February, the Australian Securities and Investments Commission launched a discussion paper looking at whether further regulation of the private credit market is needed.ASIC will continue to place a strong focus on the private lending industry, a spokesman for the regulator said. There are well-founded concerns around the lack of disclosure and information around valuations of private assets.As if to show its teeth, last October ASIC launched legal action against one specialist lender, Oak Capital, for allegedly arranging loans designed to avoid consumer credit protections.Central to the regulators case is that a loan to a company rather than an individual does not offer the same protection as a mortgage, thereby denying the borrower the right to make a hardship application or any protection from excessive fees and interest.Oak Capital has denied the allegations, and the matter is set to play out in court in coming months before Justice Anderson.But as private credit has boo...


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