National Consumer Credit Protection Act 2009

SCHEDULE 1 - NATIONAL CREDIT CODE  

Note:

See section 3 of the National Credit Act.

PART 4 - CHANGES TO OBLIGATIONS UNDER CREDIT CONTRACTS, MORTGAGES AND GUARANTEES  

Division 1 - Unilateral changes by credit provider  

65   Repayment changes  
Notification of repayment changes

65(1)    
A credit provider must, not later than 20 days before a change in the amount or frequency or time for payment of, or a change in the method of calculation of, instalments or minimum repayments, under a credit contract takes effect, give to the debtor written notice setting out:

(a) particulars of the change; and

(b) any information required by the regulations.

Criminal penalty: 100 penalty units.

Repayment reductions

65(2)    
Subsection (1) does not apply to a change that reduces the obligations of the debtor, or extends the time for payment, under the credit contract. The credit provider must, however, give particulars of any such change before or when the next statement of account is sent to the debtor after the change takes effect.

Criminal penalty: 100 penalty units.

65(3)    
If the amount or frequency or time for payment of instalments or minimum repayments is not specified in the credit contract but is determined by a method of calculation so specified, this section requires the credit provider to give particulars only of any change in that method of calculation.

Strict liability offences

65(4)    
Subsections (1) and (2) are offences of strict liability.

Note:

For strict liability, see section 6.1 of the Criminal Code .

Application

65(5)    
This section does not apply to a change that occurs while the credit contract does not require any repayment of the amount of credit provided.

65(6)    
This section applies whether or not the change is a change to the terms of the contract.