Treasury Laws Amendment (Banking Measures No. 1) Act 2018 (9 of 2018)

Schedule 5   Credit card reforms

Part 1   When a credit card contract, or a credit limit increase, is unsuitable

National Consumer Credit Protection Act 2009

1   After subsection 118(3)

Insert:

(3AA) For the purposes of paragraph (2)(a), a consumer is taken to be able to comply with the consumer's financial obligations under a contract only with substantial hardship if:

(a) the contract is a credit card contract; and

(b) the consumer could not comply with an obligation to repay an amount equal to the credit limit of the contract within the period determined by ASIC under section 160F.