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Cigno Australia and BSF Solutions Penalised for Unlawful Payday Lending Practices

Federal Court Imposes $7 Million Fine for Credit Law Violations

Cigno Australia and BSF Solutions Penalised for Unlawful Payday Lending Practices?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

The Federal Court has imposed a $7 million fine on Cigno Australia and BSF Solutions for operating an illegal payday lending scheme that contravened Australian credit laws.
Each company received a $3 million penalty, while their respective directors, Mark Swanepoel and Brenton Harrison, were fined $500,000 each.

The Australian Securities and Investments Commission (ASIC) initiated legal action against these entities, highlighting that their lending practices generated over $91 million in fees and charges, adversely affecting numerous consumers. Despite seeking legal advice from a reputable law firm, the court determined that the companies' operations breached established credit regulations.

Justice Ian Jackman noted the severity of the violations and the substantial harm caused to consumers. He emphasised that the penalties aim to deter similar misconduct in the future. This case underscores the importance of compliance with credit laws and the potential consequences of non-compliance.

For consumers, this ruling serves as a reminder to exercise caution when engaging with payday lenders. It's crucial to thoroughly research and understand the terms and conditions of any loan agreement. Utilising resources like ASIC's MoneySmart website can provide valuable guidance on making informed financial decisions.

In light of this development, individuals seeking personal loans should consider reputable lenders who adhere to Australian credit laws. Exploring options with transparent terms and competitive rates can help avoid the pitfalls associated with predatory lending practices.

Published:Saturday, 9th May 2026
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

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This website is owned and operated by Clark Family Pty Ltd (ACN 010 281 008) as Trustee for the Clark Family Trust (ABN 35 957 893 714), 43 Larch Street Tallebudgera QLD 4228. Australian Internet Loans publishes general information, tools and resources about personal and business loans, finance and leasing. The website may display third-party advertising.

IMPORTANT: The information on this website is general in nature and does not take into account your objectives, financial situation or needs. We do not provide personalised financial, credit or insurance advice or credit assistance. We do not accept applications or quote requests, refer visitors to brokers, lenders or insurers, or select, recommend or arrange products for individuals. Consider seeking advice from an appropriately licensed adviser before acting on this information. You should independently verify the credentials and licensing of any adviser or provider you engage. Visit the ASIC website for further information.