A rule that prohibits a lender from starting debt recovery legal proceedings against a borrower in situations where the borrower has lodged a complaint with an external dispute resolution service is to remain in place, despite industry complaints that it an unreasonable restriction.
The Australian Securities and Investments Commission has released the results of a review of the jurisdiction of EDR schemes, in which it confirmed "the appropriateness of the existing policy settings".
ASIC Regulatory Guide 139 states: "The terms of reference of an EDR scheme must require that...
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