ASIC pressures Elite Mortgage Brokers over advertising claims
Melbourne-based Chinese mortgage brooking firm Elite Mortgage Brokers has recently agreed to make changes to its website and print advertisements in response to concerns raised by ASIC.
ASIC considered statements made by Elite Mortgage Brokers in Chinese, were misleading or deceptive or likely to mislead or deceive, namely claims of a 100% success rate, pre-approvals within 15 minutes, they were Melbourne’s largest Chinese mortgage broker and could match interest rates from all banks.
ASIC said the advertisements were made over the period October 2014 through to March 2015 in the Melbourne Property Weekly and on Elite Mortgage Brokers’ business website and were concerned statements claiming a ‘100% success rate’ were likely to be misleading because they suggest that credit will be provided to all applicants. Other claims could not be properly substantiated.
ASIC Deputy Chair Peter Kell said all representations made in advertising of credit-related products, including representations regarding the size of a business or the nature of services provided, must be accurate and able to be substantiated to avoid consumers being misled.
"This extends to ensuring consumers from non-English speaking backgrounds are not misled or deceived by advertising in a foreign language," he said.
"ASIC monitors all forms of advertising and will continue to monitor advertising targeted at non-English speaking consumers. Where necessary, ASIC will take enforcement action."
