{ "compilation": "National Credit Code (Schedule 1 to the National Consumer Credit Protection Act 2009), compilation No. 52, compilation date 1 July 2026 (Federal Register of Legislation C2026C00340).", "periods": { "informationRequest": 21, "debtorResponse": 21, "decisionNoInfo": 21, "decisionNoResponse": 28, "decisionAfterInfo": 21, "smallChangeDays": 90, "changeNotice": 30, "defaultRemedy": 30, "enforcementHold": 14, "hardshipLookbackMonths": 4, "postponementNotice": 21, "postponementHold": 14, "idrResponse": 21 }, "hardship_lookback_is_calendar_months": true, "credit_contract": { "hardship_notice": { "cite": "National Credit Code s 72(1)", "quote": "If a debtor considers that he or she is or will be unable to meet his or her obligations under a credit contract, the debtor may give the credit provider notice (a hardship notice), orally or in writing, of the debtor’s inability to meet the obligations." }, "information_request": { "cite": "National Credit Code s 72(2)", "quote": "Within 21 days after the day of receiving the debtor’s hardship notice, the credit provider may give the debtor notice, orally or in writing, requiring the debtor to give the credit provider specified information within 21 days of the date of the notice stated in the notice." }, "decision_notice": { "cite": "National Credit Code s 72(4)", "quote": "The credit provider must, before the end of the period identified under subsection (5), give the debtor a notice … that states: (i) the credit provider and the debtor have not agreed to change the credit contract; and (ii) the reasons why they have not agreed; and (iii) the name and contact details of the AFCA scheme; and (iv) the debtor’s rights under that scheme." }, "decision_period": { "cite": "National Credit Code s 72(5)", "quote": "The credit provider must give the notice before the end of the period identified using the table. [1] The credit provider does not require information under subsection (2): 21 days after the day of receiving the hardship notice. [2] The credit provider requires information under subsection (2) but does not receive any information in compliance with the requirement: 28 days after the stated date of the notice under subsection (2). [3] The credit provider requires information under subsection (2) and receives information in compliance with the requirement: 21 days after the day of receiving the information." }, "small_change": { "cite": "National Credit Code s 72(4A)", "quote": "Subsection (4) does not apply if the credit provider and the debtor agree to a change to the credit contract that defers or otherwise reduces the obligations of the debtor under that contract for a period not exceeding 90 days." }, "change_notice": { "cite": "National Credit Code s 73(1)", "quote": "A credit provider that enters into an agreement with the debtor to change the credit contract as a result of a hardship notice by the debtor must, not later than 30 days after the date of the agreement, give to the debtor, and any guarantor under a guarantee related to the contract, a written notice setting out … particulars of the change in the terms of the credit contract." }, "default_notice": { "cite": "National Credit Code s 88(1)(b)", "quote": "the credit provider has given the debtor, and any guarantor, a default notice, complying with this section, allowing the debtor a period of at least 30 days from the date of the notice to remedy the default" }, "default_notice_content": { "cite": "National Credit Code s 88(3)", "quote": "A default notice must contain a prominent heading at its top stating that it is a default notice and specify: (a) the default; and (b) the action necessary to remedy the default; and (c) a period for remedying the default; and (d) the date after which enforcement proceedings in relation to the default, and, if relevant, repossession of mortgaged property may begin if the default has not been remedied; and (e) that repossession and sale of mortgaged property may not extinguish the debtor’s liability; and (f) the information prescribed by the regulations about the debtor’s right to: (i) give a hardship notice under section 72; or (ii) give a postponement request under section 94; or (iii) make an application to the court under sections 74 and 96; and (g) the information prescribed by the regulations about: (i) the AFCA scheme; and (ii) the debtor’s rights under that scheme; and (h) that a subsequent default of the same kind that occurs during the period specified for remedying the original default may be the subject of enforcement proceedings without further notice if it is not remedied within the period; and (i) that, under the Privacy Act 1988, a credit reporting body (within the meaning of that Act) may collect and hold default information (within the meaning of that Act) in relation to the default; and (j) any other information prescribed by the regulations." }, "default_notice_form": { "cite": "National Consumer Credit Protection Regulations 2010 (Cth), reg 86", "quote": "For paragraphs 88(3)(f) and (g) of the Code, the information that a default notice must contain is set out in the following table.", "table": [ { "item": 1, "contractEnteredOn": "before 1 March 2013", "noticeGivenOn": "on or after 1 March 2013", "form": [ "Form 12", "Form 12A" ] }, { "item": 2, "contractEnteredOn": "on or after 1 March 2013", "noticeGivenOn": "before 1 December 2013", "form": [ "Form 12", "Form 12A" ] }, { "item": 3, "contractEnteredOn": "on or after 1 March 2013", "noticeGivenOn": "on or after 1 December 2013", "form": [ "Form 12A" ] } ] }, "enforcement_hold": { "cite": "National Credit Code s 89A(2)", "quote": "The credit provider must not begin enforcement proceedings against the debtor unless: (a) the credit provider has given the debtor a notice under paragraph 72(4)(b), in response to the current hardship notice, stating that the credit provider and debtor have not agreed to change the credit contract; and (b) the period of 14 days, starting on the day the credit provider gives the notice under paragraph 72(4)(b), has expired." }, "enforcement_hold_applies": { "cite": "National Credit Code s 89A(1)(c)", "quote": "either: (i) in the 4 months before the day the current hardship notice is given, the debtor had not given the credit provider another hardship notice; or (ii) in that 4-month period, the debtor had given the credit provider one or more other hardship notices, but the credit provider reasonably believes that the basis on which the current hardship notice was given is materially different from the bases on which the other hardship notices were given." }, "postponement_request": { "cite": "National Credit Code s 94(2)", "quote": "If the debtor, mortgagor or guarantor gives the postponement request, the credit provider must, within 21 days after the day of receiving the request, give the person a written notice: (a) that states whether or not the credit provider agrees to negotiate a postponement; and (b) if the credit provider does not agree to negotiate — that states: (i) the name of the AFCA scheme; and (ii) the person’s rights under that scheme; and (iii) the reasons for not agreeing to negotiate." }, "postponement_hold": { "cite": "National Credit Code s 94(3)", "quote": "If the debtor, mortgagor or guarantor gives the postponement request, the credit provider must not begin enforcement proceedings unless: (a) the credit provider has given the debtor, mortgagor or guarantor a notice under subsection (2) in response to the postponement request; and (b) the period of 14 days, starting on the day the credit provider gives the notice under subsection (2), has expired." }, "idr_hardship": { "cite": "ASIC Regulatory Guide 271 Internal dispute resolution, RG 271.93 (enforceable)", "quote": "Where a complaint involves a hardship notice or request to postpone enforcement proceedings, the following maximum IDR timeframes apply: (a) the credit provider or lessor has 21 calendar days to consider and determine whether to agree to: (i) a change in the terms of the credit contract or lease for hardship (under s72 and 177B of the National Credit Code) …" }, "idr_urgent": { "cite": "ASIC Regulatory Guide 271, RG 271.92 (enforceable)", "quote": "Credit providers, credit service providers, lessors and unlicensed COI lenders must treat complaints involving hardship notices or requests to postpone enforcement proceedings as urgent matters." }, "idr_reasons": { "cite": "ASIC Regulatory Guide 271, RG 271.54 (enforceable)", "quote": "If a financial firm rejects or partially rejects the complaint, the IDR response must clearly set out the reasons for the decision by: (a) identifying and addressing the issues raised in the complaint; (b) setting out the financial firm’s findings on material questions of fact and referring to the information that supports those findings; and (c) providing enough detail for the complainant to understand the basis of the decision and to be fully informed when deciding whether to escalate the matter to AFCA or another forum." }, "generic_reasons": { "cite": "ASIC Report 782 Hardship, hard to get help (May 2024), paras 275–276 and Example 42", "quote": "We found that the quality of reasons provided by lenders was poor across all lenders that we reviewed. In most cases, the reasons provided were overly generic and contained inadequate detail. … With the reasons provided, we found it difficult to see how a customer would be able to ultimately understand why the lender had declined to change the credit contract." }, "follow_up": { "cite": "ASIC Report 782 (May 2024), para 190 and the practical action beside it", "quote": "Lenders should have arrangements in place to follow up requests for information and/or supporting documentation. This should generally include making multiple contact attempts using more than one communication channel well in advance of issuing a decline notice." }, "identify": { "cite": "ASIC Report 782 (May 2024), Example 19", "quote": "Failing to identify hardship notices also carries a risk of non-compliance with the lender’s obligations under s72 of the National Credit Code. Customers may not receive reasons for why the lender has not agreed to vary the credit contract and of the customer’s right to complain to AFCA (if applicable)." }, "dropout": { "cite": "ASIC Report 782 (May 2024), para 148", "quote": "Our analysis of data provided by the lenders found that approximately 35% of customers dropped out of the process on at least one occasion, either because they withdrew their hardship notice or were declined for not responding (e.g. to an information request)." }, "scaling": { "cite": "ASIC Report 782 (May 2024), para 178", "quote": "Lenders should consider a customer’s individual circumstances and limit requests for supporting documentation to those documents genuinely required to determine whether a customer is unable to meet their obligations and/or what (if any) assistance would be appropriate to provide: see also s72(2) of the National Credit Code." }, "effect_of_assistance": { "cite": "ASIC Report 782 (May 2024), Section G, key points at p 99", "quote": "Lenders were not always clear about the effect of the hardship assistance when advising customers that they had approved their hardship notice (e.g. the fact that interest and arrears would accrue)." }, "data_capture": { "cite": "ASIC Report 782 (May 2024), paras 335–337", "quote": "Some examples of the data or data fields that lenders were unable to provide included: (a) the channel through which the hardship notice was received; (b) whether the customer was represented by a third party (e.g. a financial counsellor); (c) the customer’s reason for giving a hardship notice; (d) whether information requests had been made and if so, the dates on which those information requests had been and the date of the customer’s response; (e) the reason for declining the customer’s hardship notice; and (f) the specific type of assistance provided. … The most common reasons for lenders not being able to provide this information was that it was not captured in a structured way in the lender’s system. In some cases, this information was captured in free-text notes that lenders could extract with some effort and caveats but in other cases it could not be produced at all. … We are concerned that some of the information that lenders were unable to produce was relevant to allowing the lender to monitor whether they were complying with legislative timeframes (e.g. dates of information requests), and in monitoring customer experience and outcomes (e.g. reasons for declines)." }, "data_capture_action": { "cite": "ASIC Report 782 (May 2024), the practical action beside para 338", "quote": "Lenders should ensure there are adequate systems and technology to manage the end-to-end hardship process, including adequate data capture of key fields to support compliance with legislative timeframes and to monitor customer outcomes." } }, "consumer_lease": { "hardship_notice": { "cite": "National Credit Code s 177B(1)", "quote": "If a lessee considers that he or she is or will be unable to meet his or her obligations under a consumer lease, the lessee may give the lessor notice (a hardship notice), orally or in writing, of the lessee’s inability to meet the obligations." }, "information_request": { "cite": "National Credit Code s 177B(2)", "quote": "Within 21 days after the day of receiving the lessee’s hardship notice, the lessor may give the lessee notice, orally or in writing, requiring the lessee to give the lessor specified information within 21 days of the date of the notice stated in the notice." }, "decision_notice": { "cite": "National Credit Code s 177B(4)", "quote": "The lessor must, before the end of the period identified under subsection (5), give the lessee a notice … that states: (i) the lessor and the lessee have not agreed to change the consumer lease; and (ii) the reasons why they have not agreed; and (iii) the name and contact details of the AFCA scheme; and (iv) the lessee’s rights under that scheme." }, "decision_period": { "cite": "National Credit Code s 177B(5)", "quote": "The lessor must give the notice before the end of the period identified using the table. [1] The lessor does not require information under subsection (2): 21 days after the day of receiving the hardship notice. [2] The lessor requires information under subsection (2) but does not receive any information in compliance with the requirement: 28 days after the stated date of the notice under subsection (2). [3] The lessor requires information under subsection (2) and receives information in compliance with the requirement: 21 days after the day of receiving the information." }, "small_change": { "cite": "National Credit Code s 177B(4A)", "quote": "Subsection (4) does not apply if the lessor and the lessee agree to a change to the consumer lease that defers or otherwise reduces the obligations of the lessee under that lease for a period not exceeding 90 days." }, "change_notice": { "cite": "National Credit Code s 177C(1)", "quote": "A lessor that enters into an agreement with a lessee to change the consumer lease as a result of a hardship notice by the lessee must, not later than 30 days after the date of the agreement, give to the lessee a written notice setting out: (a) particulars of the change in the terms of the lease; and (b) any information required by the regulations." }, "default_notice": { "cite": "National Credit Code s 179D(1)(b)", "quote": "the lessor has given the lessee a default notice, complying with this section, allowing the lessee a period of at least 30 days from the date of the notice to remedy the default" }, "default_notice_content": { "cite": "National Credit Code s 179D(2)", "quote": "A default notice must contain a prominent heading at its top stating that it is a default notice and specify: (a) the default; and (b) the action necessary to remedy the default; and (c) a period for remedying the default; and (d) the date after which enforcement proceedings in relation to the default, and, if relevant, repossession of goods hired under the lease may begin if the default has not been remedied; and (e) the information prescribed by the regulations about the lessee’s right to: (i) give a hardship notice under section 177B; or (ii) give a postponement request under section 179H; or (iii) make an application to the court under sections 177D and 179K; and (f) the information prescribed by the regulations about: (i) the AFCA scheme; and (ii) the lessee’s rights under that scheme; and (g) that a subsequent default of the same kind that occurs during the period specified for remedying the original default may be the subject of enforcement proceedings without further notice if it is not remedied within the period; and (h) that, under the Privacy Act 1988, a credit reporting body (within the meaning of that Act) may collect and hold default information (within the meaning of that Act) in relation to the default; and (i) any other information prescribed by the regulations." }, "default_notice_form": { "cite": "National Consumer Credit Protection Regulations 2010 (Cth), reg 105K", "quote": "For paragraphs 179D(2)(e) and (f) of the Code, the information that a default notice must contain is set out in Form 18A.", "table": null }, "enforcement_hold": { "cite": "National Credit Code s 179F(2)", "quote": "The lessor must not begin enforcement proceedings against the lessee unless: (a) the lessor has given the lessee a notice under paragraph 177B(4)(b), in response to the current hardship notice, stating that the lessor and the lessee have not agreed to change the consumer lease; and (b) the period of 14 days, starting on the day the lessor gave the notice under paragraph 177B(4)(b), has expired." }, "enforcement_hold_applies": { "cite": "National Credit Code s 179F(1)(c)", "quote": "either: (i) in the 4 months before the current hardship notice is given, the lessee had not given the lessor another hardship notice; or (ii) in that 4-month period, the lessee had given the lessor one or more other hardship notices, but the lessor reasonably believes that the basis on which the current hardship notice was given is materially different from the bases on which the other hardship notices were given." }, "postponement_request": { "cite": "National Credit Code s 179H(2)", "quote": "If the lessee gives the postponement request, the lessor must, within 21 days after the day of receiving the request, give the person a written notice: (a) that states whether or not the lessor agrees to negotiate a postponement; and (b) if the lessor does not agree to negotiate — that states: (i) the name of the AFCA scheme; and (ii) the person’s rights under that scheme; and (iii) the reasons for not agreeing to negotiate." }, "postponement_hold": { "cite": "National Credit Code s 179H(3)", "quote": "If the lessee gives the postponement request, the lessor must not begin enforcement proceedings unless: (a) the lessor has given the lessee a notice under subsection (2) in response to the postponement request; and (b) the period of 14 days, starting on the day the lessor gives the notice under subsection (2), has expired." }, "idr_hardship": { "cite": "ASIC Regulatory Guide 271 Internal dispute resolution, RG 271.93 (enforceable)", "quote": "Where a complaint involves a hardship notice or request to postpone enforcement proceedings, the following maximum IDR timeframes apply: (a) the credit provider or lessor has 21 calendar days to consider and determine whether to agree to: (i) a change in the terms of the credit contract or lease for hardship (under s72 and 177B of the National Credit Code) …" }, "idr_urgent": { "cite": "ASIC Regulatory Guide 271, RG 271.92 (enforceable)", "quote": "Credit providers, credit service providers, lessors and unlicensed COI lenders must treat complaints involving hardship notices or requests to postpone enforcement proceedings as urgent matters." }, "idr_reasons": { "cite": "ASIC Regulatory Guide 271, RG 271.54 (enforceable)", "quote": "If a financial firm rejects or partially rejects the complaint, the IDR response must clearly set out the reasons for the decision by: (a) identifying and addressing the issues raised in the complaint; (b) setting out the financial firm’s findings on material questions of fact and referring to the information that supports those findings; and (c) providing enough detail for the complainant to understand the basis of the decision and to be fully informed when deciding whether to escalate the matter to AFCA or another forum." }, "generic_reasons": { "cite": "ASIC Report 782 Hardship, hard to get help (May 2024), paras 275–276 and Example 42", "quote": "We found that the quality of reasons provided by lenders was poor across all lenders that we reviewed. In most cases, the reasons provided were overly generic and contained inadequate detail. … With the reasons provided, we found it difficult to see how a customer would be able to ultimately understand why the lender had declined to change the credit contract." }, "follow_up": { "cite": "ASIC Report 782 (May 2024), para 190 and the practical action beside it", "quote": "Lenders should have arrangements in place to follow up requests for information and/or supporting documentation. This should generally include making multiple contact attempts using more than one communication channel well in advance of issuing a decline notice." }, "identify": { "cite": "ASIC Report 782 (May 2024), Example 19", "quote": "Failing to identify hardship notices also carries a risk of non-compliance with the lender’s obligations under s72 of the National Credit Code. Customers may not receive reasons for why the lender has not agreed to vary the credit contract and of the customer’s right to complain to AFCA (if applicable)." }, "dropout": { "cite": "ASIC Report 782 (May 2024), para 148", "quote": "Our analysis of data provided by the lenders found that approximately 35% of customers dropped out of the process on at least one occasion, either because they withdrew their hardship notice or were declined for not responding (e.g. to an information request)." }, "scaling": { "cite": "ASIC Report 782 (May 2024), para 178", "quote": "Lenders should consider a customer’s individual circumstances and limit requests for supporting documentation to those documents genuinely required to determine whether a customer is unable to meet their obligations and/or what (if any) assistance would be appropriate to provide: see also s72(2) of the National Credit Code." }, "effect_of_assistance": { "cite": "ASIC Report 782 (May 2024), Section G, key points at p 99", "quote": "Lenders were not always clear about the effect of the hardship assistance when advising customers that they had approved their hardship notice (e.g. the fact that interest and arrears would accrue)." } }, "events": { "hardship_notice_identified": "The day the provider’s own systems recognised the notice as a hardship notice. It does not start any clock — s 72 runs from receipt — and a gap between the two is reported.", "information_requested": "A notice under s 72(2) requiring information. Carries `statedDate`, the date stated in the notice, because item 2 of the s 72(5) table runs from it.", "information_received": "Information given in compliance with the requirement. Starts item 3 of the s 72(5) table.", "decision_notice_given": "The notice under s 72(4). Carries `outcome`: `agreed` or `not_agreed`.", "agreement_reached": "The day the provider and the borrower agreed to change the contract. Carries `deferralDays` where the change only defers or reduces obligations, because s 72(4A) and s 73(1A) turn on 90 days.", "change_notice_given": "The written notice of the particulars of the change, under s 73(1).", "default_notice_given": "A default notice under s 88. Carries `remedyBy`, the date stated in it.", "earlier_hardship_notice": "A hardship notice given before this one, which is what s 89A(1)(c) turns on.", "complaint_received": "A complaint involving the hardship notice, which RG 271.93 puts on a 21-day clock of its own.", "postponement_request": "A request under s 94(1) that the provider negotiate a postponement of enforcement.", "postponement_notice_given": "The written notice under s 94(2).", "contact_attempted": "An attempt to reach the borrower. Carries `channel`. Counted against a procedure’s follow-up requirement.", "withdrawn": "The borrower withdrew the hardship notice.", "step_taken": "A step in the provider’s own procedure was taken. Carries `step`, the id of the step. Any event may also carry `satisfies: [ids]` where the same act discharges a procedure step — sending the decision notice is usually also the procedure’s “decide” step, and recording it twice would be two chances to record it differently." }, "record_fields": [ { "id": "channel", "para": "para 335(a)", "asic": "the channel through which the hardship notice was received", "what": "How the hardship notice arrived" }, { "id": "represented", "para": "para 335(b)", "asic": "whether the customer was represented by a third party (e.g. a financial counsellor)", "what": "Whether somebody was acting for the borrower" }, { "id": "reason", "para": "para 335(c)", "asic": "the customer’s reason for giving a hardship notice", "what": "What the borrower said the hardship was" }, { "id": "information", "para": "para 335(d)", "asic": "whether information requests had been made and if so, the dates on which those information requests had been and the date of the customer’s response", "what": "Whether information was asked for, when, and when it was answered" }, { "id": "declineReason", "para": "para 335(e)", "asic": "the reason for declining the customer’s hardship notice", "what": "The reason recorded for not agreeing" }, { "id": "assistance", "para": "para 335(f)", "asic": "the specific type of assistance provided", "what": "The kind of assistance given" } ], "record_vocabulary": { "source": { "cite": "ASIC Report 782 (May 2024), paras 335–337", "quote": "Some examples of the data or data fields that lenders were unable to provide included: (a) the channel through which the hardship notice was received; (b) whether the customer was represented by a third party (e.g. a financial counsellor); (c) the customer’s reason for giving a hardship notice; (d) whether information requests had been made and if so, the dates on which those information requests had been and the date of the customer’s response; (e) the reason for declining the customer’s hardship notice; and (f) the specific type of assistance provided. … The most common reasons for lenders not being able to provide this information was that it was not captured in a structured way in the lender’s system. In some cases, this information was captured in free-text notes that lenders could extract with some effort and caveats but in other cases it could not be produced at all. … We are concerned that some of the information that lenders were unable to produce was relevant to allowing the lender to monitor whether they were complying with legislative timeframes (e.g. dates of information requests), and in monitoring customer experience and outcomes (e.g. reasons for declines)." }, "action": { "cite": "ASIC Report 782 (May 2024), the practical action beside para 338", "quote": "Lenders should ensure there are adequate systems and technology to manage the end-to-end hardship process, including adequate data capture of key fields to support compliance with legislative timeframes and to monitor customer outcomes." }, "channel": { "phone": { "label": "By telephone", "oral": true }, "in_person": { "label": "In person — at a branch or a counter", "oral": true }, "online_form": { "label": "Through an online form", "oral": false }, "email": { "label": "By email", "oral": false }, "letter": { "label": "By letter", "oral": false }, "sms": { "label": "By SMS or an in-app message", "oral": false }, "other": { "label": "Another channel, recorded on the file", "oral": null } }, "represented": { "financial_counsellor": { "label": "A financial counsellor" }, "other_representative": { "label": "Another representative — a lawyer, a community worker, or somebody else acting for the borrower" }, "none": { "label": "Nobody — the borrower dealt with the provider directly" } }, "reason": { "note": "ASIC’s own categories, Table 15 in Appendix 2 of REP 782.", "values": { "overcommitment": { "label": "Overcommitment" }, "reduced_income": { "label": "Reduced income" }, "unemployment": { "label": "Unemployment" }, "medical": { "label": "Medical" }, "separation": { "label": "Separation" }, "bereavement": { "label": "Bereavement" }, "business_downturn": { "label": "Business downturn or failure" }, "parental_leave": { "label": "Parental leave" }, "abuse": { "label": "Abuse" }, "natural_disaster": { "label": "Natural disaster" }, "other": { "label": "Other" } } }, "assistance": { "note": "ASIC’s own kinds, Tables 8 to 10 of REP 782.", "values": { "deferral": { "label": "Deferral", "what": "A temporary period where the borrower stops making all payments under the loan, usually with interest and arrears still accruing. Also called a moratorium or a postponement." }, "payment_arrangement": { "label": "Reduced payment arrangement", "what": "A temporary period where the borrower makes reduced payments under the loan, usually with interest and arrears still accruing." }, "interest_only": { "label": "Interest-only repayments", "what": "A temporary period where the borrower repays only the interest as it becomes due, which usually means arrears do not accrue during it." }, "term_extension": { "label": "Term extension", "what": "The term of the loan is extended so the principal is repaid over a longer period, reducing the current repayment." }, "capitalisation_of_arrears": { "label": "Capitalisation of arrears", "what": "Arrears are added to the loan balance and repaid across the remaining term. Also called re-ageing. ASIC found all ten lenders offered this and implemented it in significantly varying ways." }, "arrears_payment_arrangement": { "label": "Arrears payment arrangement", "what": "The borrower pays more than the usual monthly payment for a period, to repay arrears that have accrued." }, "serviceability_period": { "label": "Serviceability period", "what": "The borrower makes payments for a period to demonstrate serviceability before the contract is varied to capitalise arrears." }, "interest_rate_reduction": { "label": "Interest rate reduction", "what": "The interest rate on the loan is reduced, either for a defined period or on an ongoing basis." }, "supported_sale": { "label": "Supported sale of the property", "what": "Assistance to a borrower who has decided to sell, aimed at supporting the sale and the move. What this covers varied across the lenders ASIC reviewed." }, "other": { "label": "Another kind of assistance, recorded on the file", "what": "ASIC also saw settlement for less than the amount owing, debt waivers and life tenancies, generally reserved for the most exceptional situations." } } }, "declineReason": "Free text, because a decline reason reduced to a code is the “overly generic” reason ASIC found inadequate at REP 782 para 275. It is capped in length and returned as the file’s own words, never as this engine’s." }, "notice_ledger": { "states": { "recorded": "Recorded", "not_produced": "Not produced", "not_required": "Not required on these events", "cannot_tell": "Cannot be told" }, "not_a_finding": "This is a list of what this file records and what it does not. It is not a finding that any obligation was contravened, and no entry on it is a judgement about the provider or about the borrower.", "notices": [ { "id": "information_request", "notice": "A notice requiring the borrower to give specified information", "required_when": "never — the Code says the provider may give one, not that it must", "is_a_permission_not_a_duty": true, "credit_contract": { "cite": "National Credit Code s 72(2)", "quote": "Within 21 days after the day of receiving the debtor’s hardship notice, the credit provider may give the debtor notice, orally or in writing, requiring the debtor to give the credit provider specified information within 21 days of the date of the notice stated in the notice." }, "consumer_lease": { "cite": "National Credit Code s 177B(2)", "quote": "Within 21 days after the day of receiving the lessee’s hardship notice, the lessor may give the lessee notice, orally or in writing, requiring the lessee to give the lessor specified information within 21 days of the date of the notice stated in the notice." } }, { "id": "decision_notice", "notice": "The notice of the decision", "required_when": "on every hardship notice, unless the change agreed defers or reduces obligations for not more than 90 days", "is_a_permission_not_a_duty": false, "credit_contract": { "cite": "National Credit Code s 72(4)", "quote": "The credit provider must, before the end of the period identified under subsection (5), give the debtor a notice … that states: (i) the credit provider and the debtor have not agreed to change the credit contract; and (ii) the reasons why they have not agreed; and (iii) the name and contact details of the AFCA scheme; and (iv) the debtor’s rights under that scheme." }, "consumer_lease": { "cite": "National Credit Code s 177B(4)", "quote": "The lessor must, before the end of the period identified under subsection (5), give the lessee a notice … that states: (i) the lessor and the lessee have not agreed to change the consumer lease; and (ii) the reasons why they have not agreed; and (iii) the name and contact details of the AFCA scheme; and (iv) the lessee’s rights under that scheme." } }, { "id": "change_notice", "notice": "Written particulars of the change", "required_when": "where the provider and the borrower agreed to change the contract", "is_a_permission_not_a_duty": false, "credit_contract": { "cite": "National Credit Code s 73(1)", "quote": "A credit provider that enters into an agreement with the debtor to change the credit contract as a result of a hardship notice by the debtor must, not later than 30 days after the date of the agreement, give to the debtor, and any guarantor under a guarantee related to the contract, a written notice setting out … particulars of the change in the terms of the credit contract." }, "consumer_lease": { "cite": "National Credit Code s 177C(1)", "quote": "A lessor that enters into an agreement with a lessee to change the consumer lease as a result of a hardship notice by the lessee must, not later than 30 days after the date of the agreement, give to the lessee a written notice setting out: (a) particulars of the change in the terms of the lease; and (b) any information required by the regulations." } }, { "id": "idr_response", "notice": "A written response to the complaint", "required_when": "where a complaint involving the hardship notice is recorded", "is_a_permission_not_a_duty": false, "credit_contract": { "cite": "ASIC Regulatory Guide 271 Internal dispute resolution, RG 271.93 (enforceable)", "quote": "Where a complaint involves a hardship notice or request to postpone enforcement proceedings, the following maximum IDR timeframes apply: (a) the credit provider or lessor has 21 calendar days to consider and determine whether to agree to: (i) a change in the terms of the credit contract or lease for hardship (under s72 and 177B of the National Credit Code) …" }, "consumer_lease": { "cite": "ASIC Regulatory Guide 271 Internal dispute resolution, RG 271.93 (enforceable)", "quote": "Where a complaint involves a hardship notice or request to postpone enforcement proceedings, the following maximum IDR timeframes apply: (a) the credit provider or lessor has 21 calendar days to consider and determine whether to agree to: (i) a change in the terms of the credit contract or lease for hardship (under s72 and 177B of the National Credit Code) …" } }, { "id": "postponement_notice", "notice": "The written answer to the postponement request", "required_when": "where a request to negotiate a postponement of enforcement is recorded", "is_a_permission_not_a_duty": false, "credit_contract": { "cite": "National Credit Code s 94(2)", "quote": "If the debtor, mortgagor or guarantor gives the postponement request, the credit provider must, within 21 days after the day of receiving the request, give the person a written notice: (a) that states whether or not the credit provider agrees to negotiate a postponement; and (b) if the credit provider does not agree to negotiate — that states: (i) the name of the AFCA scheme; and (ii) the person’s rights under that scheme; and (iii) the reasons for not agreeing to negotiate." }, "consumer_lease": { "cite": "National Credit Code s 179H(2)", "quote": "If the lessee gives the postponement request, the lessor must, within 21 days after the day of receiving the request, give the person a written notice: (a) that states whether or not the lessor agrees to negotiate a postponement; and (b) if the lessor does not agree to negotiate — that states: (i) the name of the AFCA scheme; and (ii) the person’s rights under that scheme; and (iii) the reasons for not agreeing to negotiate." } }, { "id": "default_notice", "notice": "The default notice", "required_when": "before enforcement proceedings begin", "is_a_permission_not_a_duty": false, "credit_contract": { "cite": "National Credit Code s 88(1)(b)", "quote": "the credit provider has given the debtor, and any guarantor, a default notice, complying with this section, allowing the debtor a period of at least 30 days from the date of the notice to remedy the default" }, "consumer_lease": { "cite": "National Credit Code s 179D(1)(b)", "quote": "the lessor has given the lessee a default notice, complying with this section, allowing the lessee a period of at least 30 days from the date of the notice to remedy the default" } } ], "amendable_due_dates": { "borrower-information-due": { "what": "The day the borrower is being given to supply the information", "whose": "the provider", "direction": "later only", "because": "The provider may give the borrower longer than its notice first gave. It may not give less: s 72(2) provides for the information within 21 days of the date stated in the notice.", "doesNotMove": { "what": "The decision period", "why": "Item 2 of the table in s 72(5) runs from the date stated in the s 72(2) notice and not from the day the borrower is given, so extending the borrower’s day leaves the day the decision notice is due exactly where it was." } }, "decision-working-due": { "what": "The day the provider is working to for its own decision", "whose": "the provider", "direction": "either way, up to the statutory day", "because": "This is the provider’s own date and not the Code’s. It may be earlier than the statutory day — a provider may hold itself to less time than the law allows — and it may not be later than it.", "doesNotMove": { "what": "The statutory day", "why": "The day the table in s 72(5) gives is printed beside this one and is not touched by anything done here, so a working date and a statutory date can never be mistaken for one another." } } }, "every_other_due_date": "A day the Code sets. An amendment naming one is kept on the trail and reported as having moved nothing, with the provision quoted — a system that silently refused the change is what ASIC found at REP 782, and dropping the attempt would put it straight back." }, "what_is_not_here": [ "Whether a notice was a hardship notice, which a person decides.", "Whether s 89A applies where an earlier notice falls inside the four months, which turns on a belief a named person holds.", "Whether the reasons for a decline are adequate, which is a person reading a person’s letter.", "Anything about credit reporting, which is a Privacy Act 1988 question and deliberately out of scope.", "The provider’s own procedure, which may hold it to less time than the Code allows and is an editable file rather than a field here." ] }