New rules

Moves to increase consumer safeguards and the responsibility of finance brokers have been endorsed by State Cabinet.

The Finance Brokers Control Act of 1975 is considered outdated and immediate changes have been made.

Fair Trading Minister Doug Shave said the changes came following extensive review of the sector by an industry reference group.

“The Australian Securities and Investments Commission is responsible for the Management Investment Act that regulates mortgage investment schemes and the changes endorsed by Cabinet will complement that legislation,” Mr Shave said.