What is RG206?
Credit licensees must comply with the organisational competence obligation in s47(1)(f) of the National Consumer Credit protection Act 2009 (National Credit Act). Regulatory Guide 206 Credit licensing: Competence and training (RG 206) sets out the minimum expectations for demonstrating organisational competence.

What is Organisational competence?
If you hold an Australian credit licence (credit licence), you must maintain your organisation’s competence to engage in the credit activities authorised by your credit licence.

What you need to do to comply?
The National Credit Act places responsibility on you to ensure you maintain the competence to provide the credit activities authorised by your credit licence.

Do I need ongoing compliance? 
Once you have a credit licence, you must maintain your organisational competence at all times. (RG 206.16)

What should my CPD include?
Your ACL CPD should include both product and industry developments related to credit, and also compliance training, including in relation to new regulatory requirements of the credit regime. For example, compliance training would need to encompass the responsible lending obligations. (RG 206.66).

I am a Responsible Manager. How do I meet ASICs regulatory requirements?
ASIC Regulatory Guide 206 Credit licensing – Competence and training stipulates that each holder of an Australian Credit Licence is required to “maintain and update the qualifications and experience of your responsible managers and ensure that your responsible managers undertake at least 20 hours of continuing professional development (CPD) per year”.

I am a Responsible Manager. How many hours of CPD do I need to complete each year?
Responsible managers must undertake 20 hours of CPD per year. 

I am a Responsible Manager. What does FEP provide to assist me in meeting ASICs regulatory requirements?
We offer an online 20 CPD hours course each year specifically designed to assist Responsible Managers in meeting this obligation.

I am a Representative. How do I meet ASICs regulatory requirements?
Credit regulation requires licensees to ensure their representatives are adequately trained and competent to engage in the credit activities authorised by their licence. Other than representatives providing home loan credit assistance, ASIC expects licensees to determine the appropriate initial and ongoing training for their representatives and to embed the requirements in their recruitment and training systems.

I am a Representative. How many hours of CPD do I need to complete each year?
ASIC observes that between 10 and 30 hours of CPD per year is standard in other industry sectors. Consequently, if a licensee determines that less than 10 hours of CPD per year is an appropriate number of hours for their representatives to engage in, ASIC would expect the licensee to explain why this is sufficient. Please refer to the table for further details:

Representatives Ongoing Training Requirements - CPD
A representative providing independent home loan credit assistance* At least 20 hours of CPD each year
A representative only providing home loan credit assistance in relation to their licensee’s own credit products A choice of: i) a minimum 20 hours of CPD each year; or ii) a regular knowledge update review and sufficient hours of CPD each year to enable completion of the knowledge update
All other representatives Between 10 and 30 hours of CPD each year

 

I am a Representative. What does FEP provide to assist me in meeting ASICs regulatory requirements?
We offer an online 20 CPD hours course each year specifically designed to assist Representatives to comply with ASIC’s requirements. 

Are both courses recognised by the MFAA and the FBAA?
Absolutely. The MFAA recognises structured learning as a valid CPD option for their members - 20.00 MFAA CPD hours have been allocated for this activity. Our RG206 CPD meets the Finance Brokers Association of Australia (FBAA), have specified for their members.

How long do I have to complete the course?
Once enrolled, you have until 30 June 2020 to complete the 2019-20 course.

Can I do the course online?
Yes, This course is offered by self study via our online learning portal, FEP Online. It provides you with online learning resources, support and assessment.
You are able to complete the course topic by topic, accruing CPD points along the way.

Is there an assessment component?
Yes, Assessment is via a short 5 question multiple-choice exam after each topic. You must achieve 80% in each topic in order to pass the course.

What Certification do I achieve?
On successful completion, you will be awarded a Certificate of Attainment. It will be available online for you to download and print immediately.