ASIC extortion. Charging 219% pa. for being five days late
The Australian Securities and Investments Commission is supposed to protect consumers against financial scams. So who protects against their predatory practices?
ASIC’s remit includes maintaining the national business register, and for this they charge a hefty fee of $329 per year (for a Pty Ltd company). But as many small business owners will know, being late is a sin punishable by fees that would make backstreet loan sharks blush.
Just five days late, ASIC charges a late fee of $98. This 30% corresponds to an annual interest rate of 219%.
The maximum interest allowed under Australian consumer law is 48% per annum. (including fees). Will incoming ASIC boss Sarah Court continue her practice of being above the laws ASIC is obliged to comply with?
Joe Longo’s ASIC. Another day, another scam ignored
Kim Wingerei is a businessman turned author and commentator. He is passionate about freedom of expression, human rights, democracy and the politics of change. Originally from Norway, Kim has lived in Australia for 30 years. Author of ‘Why Democracy is Broken – A Blueprint for Change’.
