Illawarra Legal Centre financial counsellor Maroun Germanos fears vulnerable people will be hit the hardest if the federal government axes its responsible lending laws.
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That's why he joined more than 100 consumer and legal organisations in writing to the government demanding the protection of safe lending laws that were introduced after the global financial crisis.
The government is seeking to overhaul the laws to make it easier for banks to lend amid Australia's COVID-19 economic recovery.
Mr Germanos worries those in debt will accrue even more debt if the law is reversed.
"If this proposed legislation is implemented the people who are suffering in our community, will suffer even more," he said.
"We will have people like gamblers who will go on line and borrow money, our books are full of people with 10 or 20 loans they go online they borrow money without any assessment and they come to us to try and sort it out for them, what is the solution for them - in many ways bankruptcies.
"I urged the federal government to reverse this decision and abandon this attempt to reverse lending laws, keep it as it is and improve, support and implement the recommendations of the Banking Royal Commission."
Mr Germanos said during these difficult times vulnerable people were especially susceptible to smaller lending companies such as "freeze lenders or pay-day lenders".
"We have been calling for years for these companies to be regulated and there are laws ready.........piece of legislation is there waiting to be introduced to parliament," he said.
"We want those laws to be introduced so vulnerable people who go to Cash Converters of this world to be protected so they don't get charged 100 per cent and 1000 per cent interest and lots of fees and charges."
The Shadow Minister for Financial Services and Whitlam MP, Stephen Jones is supporting the calls.
"I've had a lot of conversations with bank CEO's and employees over the last four weeks not one of them has said we asked for this, this is a solution in search of a problem, a problem that does not exist," Mr Jones said.
"I think the banks do want to do the right thing. They themselves acknowledge that these laws have been a good brake on bad behaviour.
"I think we need both borrowers and lenders to do the right thing. Of course borrowers have got to provide honest information to their banks when they are seeking a loan, but it is also incumbent upon the banks to do the right things.
"I think the balance is right if we keep the laws in place."
Mr Jones highlighted the plight of former Nationals Senator John 'Wacka' Williams to not relax the responsible lending laws.
"He lost the family farm because a salesman came knocking on his door and said 'I've got a great deal for you, a foreign denominated loan over your farm". It all went south, he lost the farm but he didn't lose his passion to ensure we got a Royal Commission and we got the right sort of changes in place," he said.
"I'm on a different side of politics to John 'Wacka' Williams but I'm 100 per cent on his side when he says we've got to keep these laws in place."
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