NCCP Compliance Checklist
Protect your licence and your clients. This comprehensive checklist ensures you meet all NCCP obligations for every loan.
What's Included
The National Consumer Credit Protection Act (NCCP) sets out strict obligations for mortgage and finance brokers. Non-compliance can result in licence suspension, ASIC enforcement action, and personal liability. Yet many brokers struggle to keep up with requirements.
This checklist covers:
- Pre-loan client identification requirements
- Needs analysis documentation
- Preliminary assessment requirements
- Product comparison obligations
- Credit proposal disclosure requirements
- Best interests duty compliance
- Conflict of interest disclosure
- Record-keeping and retention periods
- Ongoing CPD tracking requirements
Why NCCP compliance matters
1. ASIC is actively enforcing
ASIC regularly conducts audits and has increased enforcement action against brokers. Penalties include licence cancellation, banning orders, and significant fines. The cost of non-compliance far exceeds the effort of doing it right.
2. Best interests duty requires documentation
Since the introduction of best interests duty, brokers must demonstrate, rather than just claim, that recommendations are in the client's best interest. Proper documentation is your evidence if challenged.
3. Protects you in disputes
When clients complain to AFCA or take legal action, comprehensive compliance documentation is your defence. Brokers with thorough records resolve disputes faster and more favourably.
Key compliance areas covered
Responsible lending obligations
Step-by-step checklist for verifying client income, expenses, and financial situation. Ensures you can demonstrate the loan is "not unsuitable" for the client's circumstances.
Disclosure requirements
What must be disclosed, when, and in what format. Includes credit guide requirements, preliminary assessment disclosure, and credit proposal disclosure timing.
AML/CTF obligations
Customer identification and verification requirements under the Anti-Money Laundering and Counter-Terrorism Financing Act. Includes acceptable ID documents and verification procedures.
Record retention
What records must be kept, for how long, and in what format. NCCP requires retention of loan documents for seven years; this checklist ensures nothing is accidentally deleted.
Who this checklist is for
This checklist is for Australian mortgage and finance brokers who want a systematic approach to compliance. Whether you're a sole operator ensuring your own compliance or a broker group standardising processes across multiple credit representatives.
It's particularly valuable for brokers who have received audit notices, are preparing for aggregator compliance reviews, or simply want peace of mind that they're meeting their obligations.
Download your copy and protect your licence.
NCCP Compliance Checklist
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