Via Banking Day:
APRA will insist on more consistent rules on the assessment – and reassessment of borrowers over loan serviceability, a measure intended to bolster other rules that, in effect, may restrain credit growth.
In guarded language in a letter to all banks and ADIs yesterday, the Australian Prudential Regulation Authority said a revised Prudential Practice Guide for residential mortgage ending explained its updated expectations for sound lending “designed to ensure that the sound lending practices that have been implemented across the industry since late 2014 are maintained and reinforced.”
