Small Amount Credit Contract and Consumer Lease Reforms

This consultation process has now been completed.
Consultation Type
Exposure Draft

Key Documents

On 28 November 2016 the Government released its response to the Review of the Small Amount Credit Contract laws. The Draft Bill implements the Government's response to the Review. This includes:

  • imposing a cap on the total payments that can be made under a consumer lease;
  • requiring small amount credit contracts (SACCs) to have equal repayments and equal payment intervals;
  • removing the ability for SACC providers to charge monthly fees in respect of the residual term of a loan where a consumer fully repays the loan early;
  • preventing lessors and credit assistance providers from undertaking door-to-door selling of leases at residential homes;
  • introducing broad anti-avoidance protections to prevent SACC loan and consumer lease providers from circumventing the rules and protections contained in the Credit Act and the Code; and
  • strengthening penalties to increase incentives for SACC providers and lessors to comply with the law.


No submissions are currently available.