Australia's Credit Corp hits lowest in 2 months on production notice from ASIC

Credit

23/08/2022 06:39

** Shares of credit management services provider Credit Corp
Group  CCP.AX  fall as much as 7.7% to A$19.38, their lowest
since June 21
    ** Following an internal review, CCP says customers were
charged interest in circumstances where co had intended to apply
forbearance in the form of zero or reduced interest rate
 urn:newsml:reuters.com:*:nASX1mhQqw
    ** Co says all contractual interest was re-applied due to an
administrative error and customers affected by failure to apply
interest forbearance from July 1, 2015 shall be identified and
remediated
    ** Total refunds expected to not exceed A$4 mln ($2.75 mln)
- co
    ** Co initiated further process to look into historic
practice of accepting temporary repayment arrangements flagged
by the Australian Securities and Investments Commission (ASIC)
    ** Additional process expected to not result in refunds,
including interest, over A$0.8 mln, says co
    ** Stock posts its biggest intraday pct fall since Aug. 2
    ** More than 750,000 shares change hands, compared with the
30-day average volume of about 286,000 shares
    ** Stock down ~37.3% this year, as of last close


($1 = 1.4520 Australian dollars)

 (Reporting by Anan Ashraf in Bengaluru)
 ((Anan.Ashraf@thomsonreuters.com;))