What is consumer credit and what credit contracts are regulated by the NCC?

The principal legislation governing consumer credit in Australia is the National Consumer Credit Protection Act 2009 (Cth) (NCCPA), and the National Credit Code (NCC), which is Sch 1 to the NCCPA.

This guidance note explains how the NCCPA and NCC define consumer credit, the operation of Regulations and ASIC, what credit is exempt from the NCCPA and NCC, and provides a glossary of concepts and terms used in key legislation.

See What is consumer credit and what credit contracts are regulated by the NCC?

Exemptions from consumer credit

Various forms of credit may be excluded from the operation of the NCCPA and NCC. These exemptions may be provided by the NCC, the Regulations, or by way of ASIC legislative instrument. This guidance note provides details of the various exemptions.

See Exemptions from the NCC and NCCPA.

Enforcement and dispute resolution in consumer credit

The Australian Securities and Investment Commission (ASIC) is responsible for the enforcement of obligations under the NCPPA and the NCC (Ch 6 of the NCCPA). The NCCPA confers power upon ASIC to commence civil proceedings and criminal prosecutions for contravention of the credit laws.

ASIC is also responsible for the granting and administering Australian credit licences (ACL) (Ch 2 of the National Consumer Credit Protection Act 2009 (Cth) (NCCPA)).

This guidance note explains the roles and powers of ASIC in relation to consumer credit, discusses ASIC’s enforcement approach, provides details of the various enforcement options available to ASIC and discussed ASIC’s product intervention powers.

This guidance note also explains the role of the Australian Financial Complaints Authority (AFCA) in dispute resolution.

See Enforcement and dispute resolution in consumer credit.