Debt

A gold credit card A gold credit card

Removing credit protections will cause harm to people and the economy  CHOICE, Consumer Action Law Centre, Financial Counselling Australia and Financial Rights Legal Centre have responded to the Government’s announcement that it will remove credit protections for borrowers saying right now what people need is more income, not more debt. Government’s proposed reforms will remove bank responsibility…

Read More Consumer groups slam move to remove responsible lending laws

a tablet computer with analytic graphs on its screen a tablet computer with analytic graphs on its screen

The Australian Financial Complaints Authority (AFCA) has updated its online comparative reporting tool, the AFCA Datacube, to include information about all financial complaints lodged with it from 1 July 2019 to 30 June 2020. This allows historical comparison with complaints data from AFCA’s inception on 1 November 2018. The AFCA Datacube allows anyone to see how…

Read More AFCA Datacube updated with latest complaint statistics

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New consumer data released today by the Consumer Policy Research Centre (CPRC) investigates the experience of consumers during the three months from May to July and raises serious alarms about the debt tsunami facing young people (18-34) as they try to make ends meet during COVID-19. 70% of young Australians are now concerned about their…

Read More Young people facing debt tsunami as they borrow from their future to make ends meet

In this short animated video, Legal Aid Queensland’s Paul Holmes, senior lawyer (consumer advocate), Civil Justice Services team talks about how to reduce your debt, particularly during COVID-19. In the legal information bites series, Legal Aid Queensland talks about the law, your rights and where to get legal help if you need it. To find…

Read More How to reduce your debt – Legal information bites by Queensland Legal Aid

A white computer keyboard. One key has the image of a shopping trolley on it A white computer keyboard. One key has the image of a shopping trolley on it

Thirteen consumer groups have joined together to provide a submission on the draft Buy Now Pay Later Code of Practice (BNPL code), developed by the Australian Finance Industry Association (AFIA). While noting that industry codes can provide beneficial commitments, the consumer advocates consider inconsistent regulation among buy now pay later products and other consumer credit…

Read More Consumer groups say a self-regulatory code for Buy Now Pay Later lenders is no substitute for consumer protection in law

A businessman putting his hand forward for a handshake A businessman putting his hand forward for a handshake

Consumers facing financial difficulties are urged to exercise caution when approached by budget and debt management companies that charge fees for their services. Complaints have been received by Consumer Protection from consumers who claim that they are charged fees for services, which were not delivered and some have signed contracts without realising that this would…

Read More Caution urged when engaging budget and debt management services

A black calculator next to a hard copy bank statement A black calculator next to a hard copy bank statement

Consumers’ Federation of Australia has joined a group of financial experts, community advocates, and service providers determined to see stronger laws implemented to protect Australians from irresponsible lenders. The Alliance’s statement: To the Australian Government: Every day our organisations deal with Australians who have been trapped in crippling debt due to high-cost fast loans and…

Read More CFA joins the Stop the Debt Trap Alliance

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Financial Rights Legal Centre (Financial Rights), Consumer Action Law Centre (Consumer Action) and Financial Counselling Australia (FCA) have welcomed the Australian Securities and Investment Commission’s (ASIC’s) announcement that it will consult on using new Product Intervention Powers to intervene in the short term credit industry. The new product intervention power allows ASIC to intervene where…

Read More Consumer advocates welcome ASIC intervention in Short Term Credit Market

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The Systemic Insight “Sales Practices Driving Consumer Debt”, shares the Telecommunication Industry Ombudsman’s recommendations on how providers could improve their selling practices to reduce consumer financial over-commitment and debt. The report makes practical recommendations in four areas that providers can adopt in selling post-paid plans and devices: Assessing a customer’s actual capacity to pay Training sales…

Read More Systemic Insight Report: Sales Practices Driving Consumer Debt

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The NSW Government has launched a free online legal service to help people overcome mortgage pressure and settle rates debts with local councils without the stress of court proceedings, Attorney General Mark Speakman announced today.  The LawAccess NSW website now provides two interactive guided pathways to match people with the information they need to resolve…

Read More Free online pathways to solve legal problems

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Today ASIC has released Report 604  Credit card lending in Australia – An update (REP 604), which sets out the changes being made by lenders to help consumers with credit card debt. In July 2018, ASIC released Report 580 Credit card lending in Australia (REP 580), which found more than one in six consumers is struggling with credit card debt. The…

Read More Lenders commit to improve credit card practices following ASIC review