Determination - 26 September 2014
Key issues: Credit Mortgage lender | Unjust contract | Vulnerable consumer | No benefit obtained from transaction
Summary of Determination
I find that the consumer’s complaint against the FSP has been made out; in particular:
- the loan contracts that the consumer entered into with the FSP are credit contracts to which the National Credit Code (Credit Code) applies; and
- the loan contract for the amount of $231,000 is unjust within the meaning of the Credit Code.
In order to remedy the injustice caused to the consumer as a result of entering into the loan contract, I order the FSP
- release the consumer from any and all liability arising from or in connection to the lease; and
- provide the consumer with, or cause to be registered, a discharge of the FSP’s mortgage registered over the consumer’s home.
Follow this link for a full copy in PDF >> Determination | 26 September 2014