And we crunch some numbers on what this lack of scrutiny is costing us, the banks' customers. In theory, as soon as a customer's equity goes above 20 percent they no longer have to pay the low equity premium. ASB told Newsroom it performs both manual and automated reviews of customers' low equity margin positions. "Banks aren't voluntarily going to make changes, and low equity premiums aren't the kind of things competition is going to change. There are a couple of problems with getting the regulators to look at changes to the low equity premium regime.

Source: Stuff November 27, 2019 19:52 UTC