The Conduct of Financial Institutions Bill
The proposed Conduct of Financial Institutions Bill (COFI Bill)was published during December 2018 and is now available for download (see below). The Bill relates to the new Twin Peaks regulation model and the Financial Sector Conduct Authority (FSCA), in particular, which replaced the well known former Financial Services Board (FSB).
The Twin Peaks regulatory model makes allowance for both the National Credit Regulator (NCR) and the new FSCA to play a role in the regulation of credit providers. As proposed, the NCR will carry on as before regulating credit providers under their jurisdiction, as per requirements in the National Credit Act (NCA), for the product they provide – which is defined as the credit agreement.
As per Twin Peaks, the FSCA will regulate the services provided by credit providers (and other parties) in relation to the provision of credit, in the same way, that it regulates similar services provided by other financial institutions. This means that the FSCA will regulate credit providers on matters such as marketing, promotion, provision of advice and the distribution and disclosure of information (relating to credit).
Download the Bill Here
CoFI-Bill-policy-paper (Twin Peaks)
Reserve Bank Set Up Cryptocurrency Team Around the world governments and unions have had to deal with the birth of cryptocurrency and try to analyse how they will try deal with things like Ethereum, Bitcoin and BunnyCoin (a cryptocurrency for … read more
VBS Mutual Bank In the SpotLight The bank which recently agreed to loan President Zuma R7.8 Million to pay for upgrades to his home has been hit by a Whistle-Blower scandal which accuses the bank (VBS) of lending millions to a … read more
Good Bank Gets Reserve Bank Go Ahead It was recently announced that the South African Reserve Bank (SARB) have given the ‘green light’ for African Bank’s Good Bank to be established. Good Bank has been issued with a Financial Service … read more
Treasury Takes Shots at NCR in Parliament Treasury Deputy Director-General Ismail Momoniat has public condemned the National Credit Regulator (NCR) and the Financial Services Board (FSB) for their “light touch” approach in the financial services industry. DDG Momoniat said that … read more
NCR CALL ON FSB TO STOP SAYING THEY WILL BE TAKING OVER The National Credit Regulator (NCR) have stated that they are not going to be incorporated into or moved into the Financial Services Board … read more
NCR want Credit Life premiums capped When a consumer takes credit a creditor will offer them a type of insurance called credit life insurance. This insurance will settle the debt if the consumer dies. This protects both the consumers estate … read more
Creditors overcharging for insurance on credit? At the end of last year Treasury (Along with the NCR and FSB) arranged for a special task-team to investigate insurance products which are bundled with credit products ( Credit Insurance ). When consumers make … read more