Customers share Bluestone fee payout

Last updated 10:29 24/12/2012

Relevant offers


Outgoing Harcourts boss leaves with a message for the media Air New Zealand rolling out 14 new domestic Koru lounges BP leads petrol price cut as global oil prices tumble Labour would stick to ban on foreign house buyers despite TPPA - Andrew Little Shutting down multinational tax rorts could mean 'more work for tax advisers' Ikea, Aldi & Zara: Big brands keeping Kiwis waiting Trawler getting five-year spruce-up Dame Therese Walsh joins ASB board McDonald's Create Your Taste self service kiosks also create new jobs Rydges Hotel to expand portfolio at Wellington Airport

Commerce Commission action alleging mortgage lender Bluestone charged excessive fees has led to a payout for customers.

Under a settlement agreement, 295 customers will share a $200,000 payout from Bluestone Mortgages NZ, Trustees Executors and TEA Custodians (Bluestone).

The commission took court action in March 2009 over concerns Bluestone was charging unreasonable "deferred establishment fees" to customers who repaid their loans within four years.

The fees were in breach of the Credit Contracts & Consumer Finance Act 2003, said the commission.

Despite the payout, Bluestone has said it does not accept it broke the law and does not admit liability.

The commission said it is working out how much each customer is due and will contact them regarding the settlement in the New Year.

Eligible borrowers are those who entered into a consumer credit contract with Bluestone between March 27 and October 13, 2006, and were charged a 'deferred establishment fee' when they repaid their loan within the first four years.

Ad Feedback


Special offers

Featured Promotions

Sponsored Content