ASIC tightens the lens on vulnerable customers: Why lenders can’t afford to fall behind in hardship support
ASIC hardship review 2025 is a wake-up call for lenders. The review found that 40% of customers who received hardship assistance returned to arrears soon after — proof that outdated processes are failing vulnerable customers and putting compliance at risk.
Hardship support and complaints handling are no longer side tasks. The ASIC vulnerable customer review 2025 makes it clear they are now central to how your organisation is measured on fairness, transparency, and customer care. If compliance is something you dust off only when the regulator calls, you’re already behind.
Manual fixes, patchy follow-ups, and one-size-fits-all approaches might have scraped through before; today, they risk public headlines and regulatory action.
ASIC Arrears Report 2025 – The Numbers Don’t Lie
In May 2025, ASIC’s review (REP 783) delivered a confronting statistic: 40% of customers who got hardship help ended up back in arrears soon after. This gap between intention and outcome reinforces why lenders must rethink hardship processes in light of the ASIC hardship findings 2025.
With ASIC doubling down, access to assistance and effective complaints handling are now central compliance measures. Regulatory guides RG 209 (responsible lending) and RG 271 (dispute resolution) set the benchmarks, but meeting them requires more than paperwork—it requires operational change.
Operational Gaps Exposed by the ASIC Hardship Assistance Report 2025
The findings highlight that manual, inbox-driven workflows cannot guarantee timeliness or consistency. They also fail to provide the evidence trail lenders need when questioned by ASIC.
From Policy to Practice – Lessons from the ASIC Hardship Review 2025
You can’t train your way out of a clunky process. Real change happens when systems make the right action the easiest action—every single time. This is one of the clearest takeaways from the ASIC compliance review 2025.
Smart workflow tools don’t replace judgment; they ensure every hardship case follows the right steps, receives on-time follow-ups, and never vanishes into an inbox. Post-review, lenders need living systems that track, evidence, and close out cases consistently.
Proof Over Promises – Meeting ASIC’s Expectations
When ASIC asks how you supported vulnerable customers, you should be able to produce a complete, accessible record of every case—not sift through scattered spreadsheets.
Why Waiting Isn’t a Strategy After the ASIC Hardship Review 2025
The cost of standing still is high. Outdated processes will fail, cases will be lost, and customers who need help most will get the least of it. The ASIC hardship findings 2025 are a reminder that acting now prevents costly compliance breaches later.
How Leading Lenders Are Responding to the ASIC Vulnerable Customer Review 2025
- Mapping hardship and complaints journeys end-to-end with clear SLAs.
- Automating triage, reminders, and escalation to avoid bottlenecks.
- Centralising records for quick, audit-ready access.
- Monitoring resolution times and outcomes through real-time dashboards.
A Question Worth Asking
If your hardship and complaints process still runs on spreadsheets and email threads, does it meet the standard you claim to uphold? In a market under closer scrutiny after the ASIC hardship review 2025, “good enough” is no longer enough.
Across the industry, forward-thinking lenders are embedding compliance into daily operations—not just to satisfy ASIC, but to protect customers and achieve sustainable growth.
