Australia’s corporate regulator, the Australian Securities and Investments Commission (ASIC), announces penalties totalling $55 million for Harvey Norman and Latitude Financial in relation to an interest-free advertising campaign. Multiple outlets report that ASIC confirms the action on Tuesday and describes it as a significant outcome for consumers.
According to ABC and other coverage, ASIC says the advertising misled customers into entering a credit card arrangement and into paying additional fees connected to a 60-month “interest-free” payment scheme. The reports state that ASIC considers the conduct to have resulted in harm that is difficult to quantify financially.
The West Australian and PerthNow report the breakdown of penalties, with Harvey Norman ordered to pay $35 million. Other reporting indicates Latitude Financial is also required to pay, bringing the combined total to $55 million. The West Australian quotes ASIC chair Sarah Court describing the outcome in terms of consumer impact.
The outlets agree ASIC’s decision concerns misleading advertisements and related consumer credit conduct tied to the promotion of interest-free terms.
