Plain language law

New Zealand law explained for everyone

Deposit Takers Act 2023

Regulation of deposit takers - Standards - Subject matter of standards

84: Application of lending standards may extend to non-deposit-taking lenders

You could also call this:

"Lending rules can also apply to people who lend money but don't take deposits."

Illustration for Deposit Takers Act 2023

The law says a lending standard can apply to a non-deposit-taking lender if the regulations allow it. You need to know that a non-deposit-taking lender is someone who lends money but does not take deposits. If a lending standard applies to a non-deposit-taking lender, they must follow the standard, as explained in subpart 2 of Part 5, which talks about what happens if they do not comply.

This text is automatically generated. It might be out of date or be missing some parts. Find out more about how we do this.

This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS547202.

Topics:
Money and consumer rights > Banking and loansBusiness > Industry rules
Previous

83: Classes of lending must be prescribed by regulations, or

"Lending rules must fit into categories decided by the government."

Next

85: Risk management, business continuity planning, and problem assets, or

"Managing risks and planning for problems that might affect people's money"

Part 3Regulation of deposit takers
Standards: Subject matter of standards

84Application of lending standards may extend to non-deposit-taking lenders

  1. A lending standard may apply to a particular non-deposit-taking lender or class of non-deposit-taking lenders if the regulations authorise the Bank to issue a lending standard with that application.

  2. A non-deposit-taking lender to which a lending standard applies must comply with the standard (see subpart 2 of Part 5, which provides for a court to impose a pecuniary penalty for a contravention of an applicable standard).