Australian fintech firm, Humm Group, announced on Monday that the interim stop order imposed by the country’s corporate regulator, restricting the issuance of buy-now-pay-later (BNPL) products to new customers, has been lifted.
Last week, the Australian Securities and Investments Commission (ASIC) had raised concerns about Humm’s unit’s target market determination for its BNPL products, leading to the issuance of the interim stop order.
Target market determination rules necessitate BNPL issuers to evaluate whether their products align with consumers’ financial objectives, circumstances, and needs.
In response to ASIC’s concerns, Humm Group has successfully addressed the issues surrounding the target market determination for its humm Buy Now Pay Later product, as stated in their official statement.
As a result of the revocation, Humm Group’s BNPL product is once again available to new customers, signaling a positive outcome for the company.