Quick answer: If you are relying on ASIC's upstream consumer-credit referral exemption, client consent to passing the consumer's name and contact details is one of the stated conditions. More broadly, obtaining clear consent before sharing client information is sensible professional practice and helps define what the broker may discuss with the referrer.
A referral should not start with quietly forwarding a client's details.
ASIC's upstream referral exemption
RG 203 states that, to rely on the upstream referral exemption, the referrer must obtain the consumer's consent to their name and contact details being given to the credit licensee or representative.
The details must also be passed within the required timeframe and other exemption conditions must be satisfied.
Consent to the introduction is not the same as consent to everything
A clean referral process distinguishes between:
- consent to provide contact details;
- consent for GPS Finance to contact the client;
- authority for GPS Finance to discuss progress with the referrer;
- any later privacy/credit-consent documents needed for an application.
Those are different stages.
Keep the wording simple
A professional does not need a long sales script. The useful conversation is closer to:
"You mentioned you want to look at finance. I work with GPS Finance and can introduce you. They handle the finance assessment. Are you happy for me to pass on your name and contact details?"
If remuneration may be received and disclosure is required, that should also be dealt with at the appropriate point.
Why this protects the referrer too
Clear consent avoids ambiguity about why the client's information was shared and what the finance broker is authorised to do.
GPS's partner process can keep the referrer informed where the client separately authorises those updates.
Related referral guides
- Do I need a credit licence to refer finance?
- Finance referral rules for advisers
- How finance referral partnerships work
- GPS Finance partner program
Sources and verification
- ASIC — Regulatory Guide 203: Do I need a credit licence?
- ASIC — FAQs: Does the credit legislation apply?
General information only. Referral, licensing, professional-conduct, tax and disclosure obligations depend on the activity, profession, client and arrangement. This is not legal, tax or accounting advice. Check the requirements that apply to your practice before relying on a referral exemption or accepting remuneration.
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