National Consumer Credit Protection Act 2009

CHAPTER 3 - RESPONSIBLE LENDING CONDUCT  

PART 3-2B - LICENSEES THAT ARE CREDIT PROVIDERS UNDER CREDIT CONTRACTS: ADDITIONAL RULES RELATING TO CREDIT CARD CONTRACTS  

Division 6 - Order of application of payments made under credit card contracts  

SECTION 133BO   CREDIT PROVIDER TO APPLY PAYMENTS IN ACCORDANCE WITH THIS DIVISION  

Requirement

133BO(1)    
If a payment (the relevant payment ) is made under a credit card contract:

(a) by or on behalf of the consumer who is the debtor under the contract; and

(b) to the licensee who is the credit provider under the contract;

the licensee must apply the payment in accordance with this Division (despite any provision to the contrary in the contract, any other contract or instrument or any other law).

Civil penalty: 5,000 penalty units.

133BO(2)    
To avoid doubt, an amount:

(a) that is credited to the consumer ' s account by the licensee; and

(b) that is, or is in the nature of:

(i) a total or partial refund in relation to a transaction entered into using the credit card; or

(ii) a total or partial reversal of such a transaction;

is not a payment to which subsection (1) applies.

Offence

133BO(3)    
A person commits an offence if:

(a) the person is subject to a requirement under subsection (1); and

(b) the person engages in conduct; and

(c) the conduct contravenes the requirement.

Criminal penalty: 100 penalty units.

Strict liability offence

133BO(4)    

A person commits an offence if:

(a) the person is subject to a requirement under subsection (1); and

(b) the person engages in conduct; and

(c) the conduct contravenes the requirement.

Criminal penalty: 20 penalty units.

133BO(5)    
Subsection (4) is an offence of strict liability.

Note:

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