29BEligible lender

29B Eligible lender

(1) An eligible lender, in relation to a guarantee issued during a particular financial year, is an entity approved by Housing Australia, for the purposes of this section, as an eligible lender for the financial year during which Housing Australia approved the issue of the guarantee. (2) Housing Australia must establish criteria and processes for the approval of entities as eligible lenders. (2A) Housing Australia may establish different criteria and processes in relation to the approval of eligible lenders for guarantees issued under each of sections 29I, 29IA, 29IB and 29IBA. (3) The criteria for the approval of entities as eligible lenders must include criteria which are directed at assessing all of the following matters: (a) an entity’s standards of customer care, including treatment of borrowers in financial hardship; (b) the competitiveness of loan products offered by an entity, including interest rates and other fees; (c) the quality of an entity’s loan origination processes and the associated level of financial risk to the Commonwealth; (d) the reputation of an entity; (e) the extent to which approval of an entity would promote competition in lending markets and related markets; (f) the extent to which the entities approved for a financial year, considered together, can undertake credit activities across Australia (including through other entities providing credit services). (5) In this section:

credit activities has the same meaning as in the National Consumer Credit Protection Act 2009.

credit service has the same meaning as in the National Consumer Credit Protection Act 2009.