Regulatory Alerts2016-11-30
Added · Updated
Measures to Enhance Customer Protection and Address Reputation Risks in Loan Applications
The Hong Kong Monetary Authority requires Authorized Institutions to verify third-party referrals and associated fees before processing retail and SME loan applications. Institutions must halt applications involving unappointed intermediaries or those charging prohibited fees, while maintaining documented justifications for any approved exceptions. Additionally, Authorized Institutions must establish public inquiry channels for third-party status and prominently display responsible borrowing messages in all lending advertisements.