Determination | 27 April 2017

Key issues: 

Responsible lending obligations | Debt collection guidelines | Mislead consumer and did not comply with notice requirements | Lessor/credit provider | Rental agreement

Summary of the complaint:

1. I find that The FSP is not the appropriate respondent to the complaint made to CIO, as the complaint was made on the mistaken understanding that The FSP was the assignee of a consumer lease contract entered into with another financial services provider trading as Company A (the lessor). The lessor is no longer engaging in credit activities and the debt has not in fact been assigned.

2. The FSP had asserted rights under the contract, which prompted this complaint, but through the course of our investigation it became clear that it has no such rights. After advising the consumer that we were unable to assist with the complaint, new claims were made in respect of the FSP’s conduct. It is appropriate that those new and materially different claims be dealt with in a separate process.

This Review was referred to the Ombudsman for a Determination.