Overview
- ASIC alleges that between June 2019 and April 2023 RAMS staff fabricated pay slips and misrepresented borrowers’ expenses and liabilities to meet home loan serviceability requirements.
- The regulator’s lawsuit in Federal Court seeks civil penalties for alleged systemic breaches of credit laws and unlicensed conduct across the franchise network.
- RAMS has admitted liability for the contraventions and remediated customers who suffered financial detriment.
- Westpac closed RAMS to new home loan applications in August 2024 and absorbed its A$31.8 billion loan book into its broader operations.
- The first case management hearing is yet to be scheduled and Westpac says existing provisions should cover any financial consequences of the proceedings.