National Consumer Credit Protection Act 2009
SCHEDULE 1
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NATIONAL CREDIT CODE
A credit provider must not enter into a credit contract unless the credit provider has given the debtor:
(a) a precontractual statement setting out the matters required by section 17 to be included in the contract document; and
(b) an information statement in the form required by the regulations of the debtor ' s statutory rights and statutory obligations.
16(2)
Those statements must be given:
(a) before the contract is entered into; or
(b) before the debtor makes an offer to enter into the contract;
whichever first occurs.
16(3)
Before entering into a credit contract, the credit provider may inform the debtor of the comparison rate. If the credit provider does so, the comparison rate must be calculated as prescribed by the regulations and be accompanied by the warnings set out in the regulations.
16(4)
The precontractual statement must contain the financial information specified by the regulations in the form prescribed by the regulations.
16(5)
The precontractual statement may be the proposed contract document or be a separate document or documents.
16(6)
A document forming part of a precontractual statement consisting of more than one document when the precontractual statement is first given must indicate that it does not contain all of the required precontractual information.
16(7)
A precontractual statement may be varied, within the time referred to in subsection (2), by written notice containing particulars of the variation given to the debtor.
Alternative ways of giving statements to debtors
16(8)
The regulations may specify ways in which a credit provider may give a document to a debtor for the purposes of this section (without limiting the ways in which the credit provider may give the document to the debtor).
Mandatory requirements relating to giving statements to debtors
16(9)
The regulations may specify: (a) the way in which a credit provider must give a document to a debtor for the purposes of this section; or (b) a way in which a credit provider must not give a document to a debtor for the purposes of this section; or (c) other requirements relating to a credit provider giving a document to a debtor for the purposes of this section.
16(10)
The giving of a document by a credit provider to a debtor for the purposes of this section is to be disregarded if: (a) the giving of the document is not in the way (if any) specified for the purposes of paragraph (9)(a) ; or (b) the giving of the document is in a way (if any) specified for the purposes of paragraph (9)(b) ; or (c) any requirements specified for the purposes of paragraph (9)(c) in relation to the giving of the document are not satisfied.
16(11)
To avoid doubt, subsections (9) and (10) have effect despite section 187 (electronic transactions and documents).
Note:
See section 3 of the National Credit Act.
PART 2 - CREDIT CONTRACTS Division 1 - Negotiating and making credit contracts 16 Precontractual disclosure 16(1)A credit provider must not enter into a credit contract unless the credit provider has given the debtor:
(a) a precontractual statement setting out the matters required by section 17 to be included in the contract document; and
(b) an information statement in the form required by the regulations of the debtor ' s statutory rights and statutory obligations.
16(2)
Those statements must be given:
(a) before the contract is entered into; or
(b) before the debtor makes an offer to enter into the contract;
whichever first occurs.
16(3)
Before entering into a credit contract, the credit provider may inform the debtor of the comparison rate. If the credit provider does so, the comparison rate must be calculated as prescribed by the regulations and be accompanied by the warnings set out in the regulations.
16(4)
The precontractual statement must contain the financial information specified by the regulations in the form prescribed by the regulations.
16(5)
The precontractual statement may be the proposed contract document or be a separate document or documents.
16(6)
A document forming part of a precontractual statement consisting of more than one document when the precontractual statement is first given must indicate that it does not contain all of the required precontractual information.
16(7)
A precontractual statement may be varied, within the time referred to in subsection (2), by written notice containing particulars of the variation given to the debtor.
Alternative ways of giving statements to debtors
16(8)
The regulations may specify ways in which a credit provider may give a document to a debtor for the purposes of this section (without limiting the ways in which the credit provider may give the document to the debtor).
View history note
Hide history noteMandatory requirements relating to giving statements to debtors
16(9)
The regulations may specify: (a) the way in which a credit provider must give a document to a debtor for the purposes of this section; or (b) a way in which a credit provider must not give a document to a debtor for the purposes of this section; or (c) other requirements relating to a credit provider giving a document to a debtor for the purposes of this section.
16(10)
The giving of a document by a credit provider to a debtor for the purposes of this section is to be disregarded if: (a) the giving of the document is not in the way (if any) specified for the purposes of paragraph (9)(a) ; or (b) the giving of the document is in a way (if any) specified for the purposes of paragraph (9)(b) ; or (c) any requirements specified for the purposes of paragraph (9)(c) in relation to the giving of the document are not satisfied.
16(11)
To avoid doubt, subsections (9) and (10) have effect despite section 187 (electronic transactions and documents).
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