ASIC Tightens Scrutiny on AFSL Records: Firms Need to Act

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

Starting 1 August 2024, ASIC will launch an in-depth compliance program aimed at verifying the authenticity of the qualifications reported on the FAR. Any inaccurately recorded qualifications may lead to enforcement actions by the regulatory body.

As the enforcement date of 1 January 2026 approaches, it is paramount for advisers to conform to the qualification standards. This could be achieved by completing an ASIC-approved qualification, earning an equivalent qualification as recognized by the government for existing advisers, or utilizing the experienced provider pathway.

Significantly, ASIC discovered that many qualifications represented as 'approved' were, in reality, bridging courses or professional designations, such as a Certified Financial Planner (CFP). Other qualifications inaccurately marked as 'approved' included the financial adviser exam and RG146 training/qualifications, which are not considered valid under current regulations.

Further findings revealed incorrect contact details for financial advisers associated with Australian Financial Services Licensees (AFSLs), prompting ASIC to demand immediate rectifications. The regulator calls on AFSLs to thoroughly verify and update all aspects of adviser information on the FAR, focusing particularly on their approved qualifications, capacity to provide tax (financial) advice services, and ensuring accurate business addresses and phone numbers.

Providing false or misleading information to ASIC, or failing to take reasonable steps to ensure the information is accurate, is a serious offence. Moreover, failing to update the FAR within 30 business days following a change in an adviser's details also constitutes an offence.

A notable shift will occur from 1 July, when the Financial Services Register will cease displaying whether an adviser's training meets the 'approved' qualification requirement. This change underscores the need for AFSLs to maintain rigorous and proactive records management practices.

Drawing from the original source of this initiative, it is essential for financial service providers to heed ASIC's warnings and ensure compliance. These steps are crucial in upholding the integrity and trustworthiness of the financial advisory profession.

Published:Wednesday, 31st Jul 2024
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

Share this news item:

Finance News

Clear

New Partnership Offers Discounted Loans for Hyundai and Kia Electric Vehicles

09 Mar 2026: Paige Estritori

The Clean Energy Finance Corporation (CEFC) has announced a partnership with Hyundai Capital Australia (HCAU) to offer discounted financing options for eligible Hyundai and Kia electric vehicles (EVs). This initiative aims to reduce the upfront costs associated with EV ownership, making it more accessible for Australian households and small businesses. - read more

ASIC Identifies Concerning Practices in Australia's Car Finance Sector

09 Mar 2026: Paige Estritori

The Australian Securities and Investments Commission (ASIC) has conducted a comprehensive review of the motor vehicle finance sector, uncovering significant issues that raise concerns about consumer protection and responsible lending practices. - read more

Surge in Used Hybrid Car Sales Reflects Australia's Shift Towards Sustainable Transportation

09 Mar 2026: Paige Estritori

The Australian automotive market is witnessing a notable increase in the sales of used hybrid vehicles, indicating a growing consumer preference for sustainable yet practical transportation options. - read more

ASIC Calls for Improved Standards in Car Finance Lending

01 Mar 2026: Paige Estritori

The Australian Securities and Investments Commission (ASIC) has conducted a comprehensive review of the motor vehicle finance sector, uncovering significant concerns regarding lending practices. This examination has highlighted issues such as exorbitant establishment fees and a troubling rate of early loan defaults, raising questions about the adequacy of current lending standards. - read more

MONEYME's Strategic Move: $455 Million Boost for Autopay's Growth

01 Mar 2026: Paige Estritori

In a significant development within Australia's auto finance sector, non-bank lender MONEYME has successfully priced a $455.4 million asset-backed securitisation (ABS) for its secured car loan product, Autopay. This transaction marks the company's second major auto bond deal, following a $517.5 million transaction earlier in the financial year, underscoring MONEYME's rapid expansion and growing influence in the market. - read more

New Low-Interest Loans to Accelerate Electric Vehicle Adoption

21 Feb 2026: Paige Estritori

In a significant move to promote the adoption of electric vehicles (EVs) among Australian consumers, the federal government has announced a new loan scheme designed to make EVs more accessible and affordable. This initiative aims to reduce the financial barriers associated with purchasing electric cars, thereby encouraging a shift towards more sustainable transportation options. - read more

Decline in Australia's Used Car Market: Sales and Listings Down

21 Feb 2026: Paige Estritori

The Australian Automotive Dealer Association (AADA), in collaboration with AutoGrab, has released the November 2025 Automotive Insights Report (AIR), revealing a significant downturn in the used car market as the year concludes. - read more

Click for more Finance News