The Government’s stubborn insistence on allowing a return to the bad old days of predatory bank lending is increasingly difficult to fathom. 

Today’s letter to crossbench senators from no fewer than 200 community groups and financial experts is a neon-lit warning light that cannot be ignored. 

Predictions of a debt disaster the Government’s changes will unleash, destroying lives and undermining the economic recovery, must be taken seriously. 

Labor joins with the signatories to urge the Senate cross bench to stand up for consumer rights and refuse to hand more power to the big banks. 

There is no evidence the current laws are constricting credit. 

There is no evidence that asking banks to do due diligence on consumer credit is harming the economy. 

There is no evidence that these changes will do anything other than break another commitment from the Coalition. 

Retaining Responsible Lending Laws in their current form was the Royal Commission’s first recommendation. The Government agreed to this recommendation.

Commissioner Hayne himself described them in his report as “critical” in ensuring good faith negotiations on loan products between banks and customers. 

If the Government cannot bring itself to keep its promises, it’s up to the Senate to save Josh Frydenberg from himself.