National Consumer Credit Protection Act 2009

CHAPTER 3 - RESPONSIBLE LENDING CONDUCT

PART 3-2BA - LICENSEES THAT ARE CREDIT PROVIDERS UNDER CREDIT CONTRACTS: ADDITIONAL RULES RELATING TO LOW COST CREDIT CONTRACTS

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History

Pt 3-2BA inserted by No 138 of 2024, s 3 and Sch 2 [ 14 ] , effective 10 June 2025. No 138 of 2024, s 3 and Sch 2 [ 18 ] contains the following application provision:

18 Application provision - Part 3-2BA of the Act
Elections

(1)
A licensee may, under subsection 133BXA(1) of the National Consumer Credit Protection Act 2009 (the Act ), make an election that covers a low cost credit contract whether the contract was entered into before, on or after the time (the commencement time ) when this Part commences.

When inquiries etc. must be made

(2)
Section 133BXB of the Act applies for the purposes of applying section 128 of the Act in relation to conduct mentioned in paragraph 128(a) , (aa) , (b) or (ba) of the Act that occurs on or after the commencement time.

(3)
To avoid doubt, a period of 90 days mentioned in paragraph 133BXB(b) of the Act may start before, on or after the commencement time.

When inquiries etc. are reasonable

(4)
Section 133BXC of the Act applies in relation to:
(a) conduct mentioned in paragraph 133BXC(1)(a) or (b) of the Act that occurs on or after the commencement time; and
(b) determining whether a licensee has done a thing mentioned in paragraph 133BXC(2)(a) , (b) or (c) of the Act, whether that thing is done before, on or after the commencement time.

Assessments etc. in relation to larger contracts

(5)
Subsection 133BXD(2) of the Act applies in relation to entering a low cost credit contract if:
(a) the contract is entered on or after the commencement time; and
(b) the assessment, and the inquiries and verification, mentioned in that subsection are made on or after the commencement time.

(6)
Subsections 133BXD(3) to (6) of the Act apply:
(a) in relation to entering a low cost credit contract, as mentioned in paragraph 133BXD(3)(a) of the Act, if:

(i) the contract is entered on or after the commencement time; and

(ii) the assessment, and the inquiries and verification, mentioned in that paragraph are made on or after the commencement time; and

(b) in relation to an increase to the credit limit of a low cost credit contract, as mentioned in subsection 133BXD(4) of the Act, if the increase occurs on or after the commencement time.

Presumptions

(7)
Section 133BXE of the Act applies in relation to assessments mentioned in subsection 131(1) of the Act that are made on or after the commencement time.

(8)
Section 133BXF of the Act applies in relation to conduct mentioned in paragraph 133(1)(a) or (b) of the Act that occurs on or after the commencement time.

Division 1 - Introduction

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SECTION 133BXA SCOPE OF THIS PART

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This Part applies if licensee makes election

133BXA(1)
A licensee may, in writing, elect that this Part apply to the licensee in relation to:

(a) all low cost credit contracts; or

(b) each low cost credit contract in a specified class of low cost credit contracts.

133BXA(2)
This Part:

(a) applies to a licensee if the licensee has made an election under subsection (1) and the election is in force; and

(b) applies to such a licensee in relation to a credit contract if the credit contract is a low cost credit contract covered by the election.

133BXA(3)
An election made under subsection (1) remains in force until the licensee revokes the election.

Licensee must keep copy of election and revocation

133BXA(4)
A licensee who makes an election under subsection (1) must keep a written copy of the election for the period:

(a) starting at the time when licensee makes the election; and

(b) ending 6 years after the day on which the election ceases to be in force.

133BXA(5)
If a licensee revokes an election made under subsection (1) , then the licensee must keep a written copy of the revocation for the period of 6 years after the day on which the licensee revokes the election.

Part 3-2 not otherwise affected

133BXA(6)
Nothing in this Part affects how Part 3-2 applies to a licensee in relation to a credit contract if the licensee has not made an election under subsection (1) of this section that covers the contract.

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