The Commerce Commission brought High Court proceedings against Moola.co.nz Limited (previously named NZ Fintech Limited) (trading as Moola) alleging it breached the lender responsibility principles contained in the Credit Contracts and Consumer Finance Act 2003 (CCCFA). Moola has since agreed a settlement with the Commission. As part of the settlement, the Commission will seek, and Moola will not oppose, High Court declarations that it had contravened section 9C(1) of the CCCFA due to its breaches of other sections of the responsible lending principles. The settlement relates to loans that Moola provided to 50 borrowers between 6 June 2015 and 30 November 2017. Moola also agreed to enforceable undertakings to implement systems, processes, policies and training that ensure responsible lending compliance before entering into future high-cost short term loans.
Credit Contracts and Consumer Finance Act s 9C(1)