Wednesday, May 23, 2018
Royal Commission questions "personal responsibility" of small business borrowers when loans go bad
The personal responsibility of small business borrowers who take out loans to buy franchises has been questioned at the financial services Royal Commission.
ANZ executive Kate Gibson says the ability of borrowers to service repayments is a critical feature in approving a loan.
Counsel assisting Michael Hodge QC suggested it was important for borrowers to take personal responsibility for repayments and to identify potential problems in a business.
Here's my take of this morning's hearings