Commonwealth Numbered Regulations Commonwealth Numbered RegulationsI, QUENTIN BRYCE, Governor-General of the Commonwealth of Australia, acting with the advice of the Federal Executive Council, make the following Regulations under the National Consumer Credit Protection Act 2009.
Dated 10 March 2010
Governor-General
By Her Excellency's Command
CHRIS BOWEN
Contents
Chapter 1 Preliminary
1 Name of Regulations 9
2 Commencement 9
3 Definitions 9
4 Meaning of associate 11
5 Prescribed orders 13
6 Forms 13
Chapter 2 Licensing of persons who engage in credit activities
Part 2-1 Australian credit licences
7 How to get an Australian credit licence -- requirements for a foreign entity to appoint local agent 14
8 How to get an Australian credit licence -- streamlined process for particular classes of applicants 15
9 The conditions on the licence 18
10 Obligations of licensees -- alternative dispute resolution systems 21
11 Obligations of licensees -- foreign entity must continue to have local agent 22
12 Obligations of licensees -- requirements for compensation arrangements 23
13 Obligations of licensees -- offence in relation to failure to cite licence number in documents 25
14 Obligations of licensees -- who compliance certificate must be signed by 26
15 When a licence can be suspended, cancelled or varied -- grounds to suspend or cancel licence 26
Part 2-2 Authorisation of credit representatives
16 Sub-authorisation by body corporate 27
Part 2-3 Financial records, trust accounts and audit reports
17 Information and matters to be contained in a trust account audit report 28
18 Eligibility of auditors to prepare trust account audit report 28
19 Auditors who prepare audit reports 30
Part 2-4 Exemptions
20 Persons exempt from requiring a licence -- general 32
21 Persons exempt from requiring a licence -- debt collectors 38
22 Persons exempt from requiring a licence -- third parties 40
23 Persons exempt from requiring a licence -- providers of point of sale credit services 41
24 Activities exempt from being credit activities 45
25 Activities exempt from requiring a licence 48
Chapter 3 Responsible lending conduct
26 Obligations of credit providers before entering credit contracts or increasing credit limits 50
27 Giving the consumer an assessment -- extended time period 50
28 Credit guide of credit representatives -- contact details for an approved external dispute resolution scheme 51
Chapter 4 Administration -- registers relating to credit activities
29 Credit registers -- licensees, credit representatives and registered persons 52
30 Credit registers -- persons against whom banning order or disqualification order is made 55
Chapter 5 Compliance and enforcement
31 Investigations -- distribution of report 57
32 Examination of person -- form of notice requiring assistance and appearance for examination 58
33 Inspection of books and audit information-gathering powers -- evidence of authority 58
34 Hearings -- form of summons to appear before ASIC 58
35 Miscellaneous provisions -- allowances and expenses 58
Chapter 6 Miscellaneous
Part 6-1 Court proceedings
36 Where proceedings may be brought 60
Part 6-2 Infringement notices
37 Purpose of Part 6-2 62
38 Definitions for Part 6-2 62
39 When an infringement notice can be given 64
40 Contents of infringement notice 65
41 Amount of penalty if infringement notice given 65
42 Extension of time to pay penalty 66
43 Payment of penalty by instalments 67
44 Time for payment of penalty 67
45 Effect of payment of penalty 68
46 Withdrawal of infringement notice by nominated person 70
47 Withdrawal of infringement notice by ASIC 71
48 Notice of withdrawal of infringement notice 71
49 Refund of penalty 71
Chapter 7 Matters in relation to the National Credit Code
Part 7-1 Exemptions, declarations and other matters
50 Continued application of Part 12 of the Code and interpretation provisions 72
51 Exempt credit -- maximum account charges 72
52 Additional exempt credit 73
53 GIO Finance Limited's No Interest Loan Scheme -- exemption from Code 73
54 Rental Purchase Plan -- exemption from certain provisions of Code 74
55 Partnership loans -- exemption from certain provisions of Code 74
56 Student loans -- exemption from certain provisions of Code 75
57 Loans for conservation of heritage items -- exemption from Code 76
58 ADIs -- exemption from Code 76
59 Estate administrators -- exemption from certain provisions of Code 76
60 Credit under Aged Care Act 1997 -- exemption from certain provisions of Code 77
61 Firefighter's Benefit Fund of WA Incorporated -- exemption from certain provisions of Code 77
62 Charge card contracts -- exemption of certain contracts from Code 78
63 Credit providers providing credit to directors -- exemption from certain provisions of Code 78
64 Mortgages -- exemptions from Code 79
65 Guarantees -- exemption from Code 79
66 Deemed mortgages for goods lease with option to purchase 80
67 Prescribed person in relation to a declaration 80
68 Declaration of purposes for which credit provided 81
69 Direct debit default notices -- exemption for credit providers 82
Part 7-2 Credit contracts
70 Statement about debtor's statutory rights and obligations 83
71 Comparison rate 83
72 Pre-contractual statement 86
73 Additional disclosures about insurance financed by contract 89
74 Additional disclosures about credit contracts to be signed by debtor 89
75 Deduction of amount for interest charges 90
76 Calculation of unpaid daily balances 90
77 Early debit or payment of interest charges 91
78 Interest charges in relation to residential investment property 92
79 When statement of account not required 92
Part 7-3 Related mortgages and guarantees
80 Mortgage arising from certain home ownership schemes -- exemption from subsection 50 (1) of the Code 93
81 Form of guarantees 94
82 Explanation about guarantor's rights and obligations 95
Part 7-4 Changes to obligations under credit contracts, mortgages and guarantees
83 Information about increases in the amount of credit 96
Part 7-5 Ending and enforcing credit contracts, mortgages and guarantees
84 Information after surrender of goods 98
85 Notice after direct debit default occurs 98
86 Notice after default occurs 98
87 Consent to enter premises 98
88 Statement about mortgagor's rights and obligations 99
89 Information about proceeds of sale of mortgaged goods 99
Part 7-6 Related sale contracts
90 Rate of interest on damages 100
91 Informing debtor of rights 100
92 Rebate of consideration 100
Part 7-7 Related insurance contracts
93 Particulars of insurance entered into by credit provider 102
94 Proportionate rebate of consumer credit insurance premium 103
95 Notice of right to cancel mortgaged property insurance 103
96 Proportionate rebate of premium for insurance over mortgaged property 103
Part 7-8 Comparison rates
97 Relevant comparison rate where annual percentage rate stated 105
98 Information about whether comparison rate relates to secured loan 105
99 Warnings about comparison rate 105
100 Calculation of comparison rates 106
101 Matters that may be included in comparison rate schedules 108
Part 7-9 Consumer leases
102 Consumer lease excluded from application of Part 11 of the Code 109
103 Prescribed person in relation to declarations 109
104 Declaration about purpose of lease 110
105 Explanation about rights and obligations of consumer lessees 111
Part 7-10 Miscellaneous
106 Tolerances relating to disclosures 112
107 Tolerances relating to amounts payable etc 113
108 Additional assumptions relating to disclosures 114
109 Contracts linked to loan account offset arrangements 114
110 Requirements for print or type 115
111 Notices 115
Part 7-11 Saving and transitional provisions -- reliance on State and Territory Consumer Credit Codes
112 References in documents to Consumer Credit Code of a State or Territory 117
Schedule 1 Forms 119
Form 1 Notice requiring reasonable assistance in connection with an investigation and appearance at an examination 119
Form 2 Summons to witness 121
Form 3 Infringement notice 122
Form 4 Prescribed terms and conditions of mortgage 126
Form 5 Information statement 128
Form 6 Disclosure about credit contracts 136
Form 7 Disclosure about credit contracts 137
Form 8 Disclosure about guarantee 138
Form 9 Information statement 139
Form 10 Information after surrender of mortgaged goods 148
Form 11 Direct debit default notice 153
Form 12 Information about debtor's rights after default 156
Form 13 Consent to enter premises 159
Form 14 Notice after taking possession of mortgaged goods 161
Form 15 Notice of right to terminate maintenance services contract 167
Form 16 Notice of right to cancel mortgaged property insurance 170
Form 17 Information statement 173
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