It's official. Responsibility for the Credit Contracts and Consumer Finance Act 2003 (CCCFA) will transfer from the Commerce Commission to the Financial Markets Authority (FMA) on 1 July 2026.

Transfer date confirmed

It has taken longer than anyone expected, but over a year after the Government first announced a major reform for consumer credit (see our previous article here), the Credit Contracts and Consumer Finance Amendment Bill has finally passed its third reading.

Among other things the Bill confirms that, from 1 July 2026, responsibility for administering and enforcing the CCCFA will transfer from the Commerce Commission to the FMA. 

The transfer reflects a broader policy objective to streamline and align financial services regulation. By bringing consumer credit regulation within the FMA’s remit, the reform is intended to create a more cohesive conduct framework across financial markets. 

The FMA has highlighted that this alignment should promote:

•    greater clarity for market participants;
•    improved regulatory efficiency; and
•    stronger, more consistent consumer protection outcomes. 

This reform also forms part of a wider legislative package aimed at simplifying financial services regulation and reducing fragmentation across the regulatory landscape. 

It is hoped that this latest round of reform will mark the end of the unusual volume of amendments made to the CCCFA in recent years. 

Licensing and enhanced supervision

Another central feature of the new framework introduced by the Bill is the licensing regime for lenders, replacing the existing CCCFA certification-based approach. 

Under this licensing model, the FMA will have a broad suite of supervisory and enforcement tools. These are intended to enable more proactive oversight of lending practices and strengthen the regulator’s ability to respond to misconduct that may harm consumers. 

What does this mean for you?

Lenders and other participants in the consumer credit market should take steps now to prepare for the transition to FMA oversight and the introduction of licensing requirements.

Lenders that are currently certified by the Commerce Commission (or exempt from such certification, such as registered banks) will be deemed to hold the appropriate FMCA license.

Market participants should expect:

• increased engagement with the FMA as the primary conduct regulator;
• enhanced scrutiny of lending practices and compliance frameworks; and
• a continued regulatory focus on delivering fair outcomes for consumers.

The Commerce Commission has provided some useful information about the transfer and what it means for lenders on its website.

The transfer date also coincides with the shift of New Zealand's AML/CFT regime to a single supervisor model on 1 July 2026, with the Department of Internal Affairs becoming the sole supervisor. 
 
Financial services participants should therefore expect a period of adjustment as they respond to these structural changes and settle into the new regulatory frameworks.

Get in touch

If you would like to discuss how these reforms may affect your business, please get in touch with one of our experts.