ASIC targets short term lenders and 990 percent loans to vulnerable Australians

The corporate regulator has announced a crackdown on short-term lenders who target vulnerable Australians with fees that can go close to a thousand percent of a loan amount. 

ASIC has targeted two firms, Cigno and Gold-Silver Standard Finance, under its new product intervention powers where consumers from low socio-economic groups can be hit with 990 percent interest on loans. 

The regulator has identified "significant consumer harm" where often desperate Australians take out high interest loans just to make ends meet

Here's my report from The World Today where I speak with ASIC commissioner Sean Hughes and Gerard Brody from the Consumer Action Law Centre.