National Consumer Credit Protection Act 2009

CHAPTER 2 - LICENSING OF PERSONS WHO ENGAGE IN CREDIT ACTIVITIES  

PART 2-5 - FINANCIAL RECORDS, TRUST ACCOUNTS AND AUDIT REPORTS  

Division 3 - Trust accounts of credit service licensees  

SECTION 98   OBLIGATION FOR CREDIT SERVICE LICENSEES TO MAINTAIN TRUST ACCOUNT  
Requirement to maintain trust account

98(1)    

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The credit service licensee must maintain one more trust accounts (the trust account ) in accordance with this section.

Civil penalty: 5,000 penalty units.

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History

S 98(1) amended by No 17 of 2019, s 3 and Sch 3[48], effective 13 March 2019.

Requirements for trust accounts

98(2)    
The trust account must be maintained with an Australian ADI (within the meaning of section 9 of the Corporations Act 2001 ).

98(3)    
The trust account must be designated as the credit service licensee ' s trust account.

Offence

98(4)    

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The credit service licensee commits an offence if:

(a) the credit service licensee is subject to a requirement under subsection (1); and

(b) the credit service licensee engages in conduct; and

(c) the conduct contravenes the requirement.

Criminal penalty: 6 months imprisonment.

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History

S 98(4) amended by No 17 of 2019, s 3 and Sch 3[49][18], effective 13 March 2019.

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