Review | 15 June 2016

Key issues: Commercial investment loans | Mortgage manager | Entering into an unsuitable loan | Failure to act with due care and skill 



 


Summary


  • The consumers sought the assistance of the FSP to enter into several commercial loans for the purpose of purchasing investment properties.

  • The consumers claimed that these loans were unsuitable and unaffordable and that the broker failed to act with due care and skill in not making proper enquiries into their financial situation.

  • We found that we could not consider the consumer’s claims of unsuitability as the loans were not regulated under the NCC and found that the claim of due care and skill was not established. 



Download Review | 15 June 2016

This Review was referred to the Ombudsman for a  Determination.