Welcome to the August issue of Lendcorp News.

In this Issue

	Introduction
	Tax Cuts Arrive
	June '09 Car sales Record
	National Consumer Protection Bill
	Consumer Confidence Surges

In Other News

Housing Loan Approvals in Australia have risen 20% in the past 6 months!

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Introduction

Welcome to the August ’09 edition of “Lendcorp News”.

In this month’s issue we look at the Latest Tax Cuts, June Car Sales Record and the new “National Consumer Protection Bill” amongst other topics.

We hope you find the articles interesting and encourage you to contact us if you require any assistance or clarification.

Kind Regards

The Lendcorp Team.
 

Tax Cuts Arrive

The Commonwealth Government’s tax cuts have come into force, along with a number of other changes announced in the 2008 budget.

What will your tax-cut be -

• $30,000 yearly salary = $21.15 less tax per week.
• $50,000 yearly salary = $14.42 less tax per week
• $80,000 yearly salary = $24.40 less tax per week

The “Baby Bonus” will rise to $5,000, but from October this year it will be means tested and paid in fort-nightly instalments.

The Childcare tax rebate limit will increase from $4,354 to $7,500 per child.

Also, many people who don’t have private health insurance won’t have to pay the Medicare Levy of 1 per cent after the threshold was changed.
The annual earnings threshold is now $100,000 for singles and $150,000 for couples, up from $50,000 and $100,000 respectively.
 

June '09 Car sales Record

The good news is that June vehicle sales reached a record high with a 36.3 per cent increase on May sales, and the THIRD BIGGEST SALES MONTH in the history of Australian auto sales!

The Federal Industry Minister Mr. Kim Carr stated that the Australian car market was performing better than those in North America, Japan and Europe.

Sales numbers could have been greater had the Government given the vehicle industry more notice than the May ’09 Budget announcement of the 50 per cent small business tax incentive, as stock levels reflected anticipated weaker demand.
 

National Consumer Protection Bill

Before 1 January 2010, all persons engaging in credit activities will need to be registered with ASIC.
They will then have 6 months to apply for an Australian Credit Licence (ACL).

Key points-

The National Consumer Protection Bill (NCPB) will –
- Deliver a single, standard, nationally consistent consumer credit law.
- Ensure national licensing, built around the Australian Credit Licence (ACL).
- Creates a new regulatory approach built on responsible lending.
- Boosts the powers of ASIC as a national credit regulator.
- Supports a prudent, international best practice consumer lending market.
 

Consumer Confidence Surges

Consumer confidence improved sharply in June as Australians took heart from the release of better than expected economic growth figures for the first quarter of 2009.

Westpac chief economist Bill Evans said the result was “truly remarkable”.
“It was the largest increase in the last 22 years” he said.

Gross domestic product (GDP) expanded by 0.4 of a per cent in the March quarter, after contracting by 0.6 per cent in the December quarter.

The positive result allowed Australia to avoid the technical definition of a recession, which is two straight quarters of negative growth.

That’s all for this issue.

If you would like any other issues covered please contact us at sales@lendcorpfinance.com.au

From the team at Lendcorp.