Important Credit Consumer Resource - Know Your Rights.

 

NATIONAL CONSUMER CREDIT PROTECTION ACT (NCCP)

NATIONAL CONSUMER CREDIT CODE (NCC). 

 

The NCCP and NCC are one of the most applicable and relevant laws that affect everyone (with mortgages, loans, credit cards etc.), however, consumers / the public are not informed nor empowered of their rights under the credit laws. 

 

• Credit contracts are strictly governed by credit laws.

• Credit contract must be pursuant to strict guidelines of the Credit Code.  

• Note: A bank application form, a general card collection form, financial statements, privacy statement, general bank brochures called "Terms and conditions" 'Conditions of use' or any internal bank records are NOT Credit Contracts. Such documents do not give any rights to enforce alleged debts. 

• Consumers are often misled that a non-contractual document is a credit contract.

• It is a contravention under the credit laws to commence court proceedings to enforce an alleged debt where Credit Contract does not exist.

• Did you know: You can request a copy of a credit contract and the bank/financial institution must provide the credit contract within 14 days or 30 days.

 

 Relevant Legislation:

• National Consumer Credit Protection Act 2009 (Cth) (NCCP)

• National Consumer Credit Protection Regulations 2009 (Cth) (NCCPR)

• National Credit Code  (NCC) in Schedule 1 of the NCCP

        (The NCCP replaces previous state-based consumer credit codes and the uniform consumer   

         Credit Code (UCCC) and it continues to apply to the conduct of Australian credit license

          holders).

• The ASIC Act  (ASIC is responsible for administering the NCCP,  visit ASIC site ).

• Corporations Act 2001 

• Australian Consumer Law (CC Act Schedule 2) (ACL) -   

        The full text of the ACL is in Schedule 2 of the Competition and Consumer Act 2010 (Previously

        known as the Trade Practices Act 1974 (TPA).

• Australian Competition and Consumer Commission (ACCC)

• Also be aware of the Code of Banking Practice (COBP) which is not legislation.

• Financial institutions/Banks are required to be part of an External Dispute Resolution (EDR). The Financial Ombudsman Services (FOS) handles disputes/complaints against lending corporations such as banks and the Credit and Investment Ombudsman (CIO) (which does not disclose to the public that it is a corporate law firm and a charity where the Key Management Personnel earns 700K in 2017) deals with disputes/complaints against financial corporations such as Credit Corp, mortgage brokers etc. Note: The CEO of Credit Corp, Thomas Beregi is also a Board director of CIO. Mr Beregi boasts that no complaint has been made out on Credit Corp. We are aware of complaints made against Credit Corp where CIO never addressed the issues eg. non-existence of credit contract and credit insurance contract and simply putting the complaint as 'not made out'  and 'not within their scope' after holding onto the complaint for 6-8 months. ASIC who approves the EDR scheme states they do not govern CIO. 

 

For assistance in consumer credit law download, the Credit Law Toolkit provided, peruse the applicable law and seek assistance from Financial Legal Rights Centre, Legal Aid and/or NSW Law Society referral. Get independent advice. Be aware of representations/advice that does not discuss the credit contract and the applicable law. 

 

(This is not legal advice, general information only. Refer to the Credit Code, the applicable legislation and regulations).