The corporate regulator has cancelled three Australian credit licences and suspended a fourth after the holders failed to maintain membership of the Australian Financial Complaints Authority, a mandatory condition for licensees.
ASIC said the actions were taken between 25 July and 29 August 2025. Mortgage Origination Pty Ltd had its licence cancelled on 25 July, APL Lending Pty Ltd was suspended on 4 August, Po Hsiung Chai’s licence was cancelled on 13 August, and Crown Home Loans & Finance Pty Ltd’s licence was cancelled on 29 August.
AFCA membership is required by law and provides consumers with access to a free, independent dispute resolution scheme when complaints cannot be resolved internally. AFCA works with ASIC to identify credit licence holders that are not maintaining membership and must notify the regulator if an entity is expelled or withdraws. ASIC said it will continue to act against entities that fail to comply or breach their general conduct obligations, including by cancelling financial services or credit licences.
According to ASIC, the affected licensees variously failed to be AFCA members, lodged annual compliance certificates late, did not pay industry funding levies owed to the regulator, or had ceased engaging in credit activities.
The four licensees can seek a review of ASIC’s decisions in the Administrative Review Tribunal.
Under section 55 of the Credit Act, ASIC may cancel a credit licence where a holder has contravened its general conduct obligations under section 47, which include being a member of AFCA and complying with credit legislation. Section 53(1) sets out the obligation to lodge an annual compliance certificate, which is defined as credit legislation in section 5 of the Act. Section 54(1)(d) allows ASIC to cancel a licence if levies and late-payment penalties are not paid in full within 12 months of their due date.
