Credit

To engage in credit activities, a business must have a credit licence or an authorisation from a credit licensee.

ASIC is the national regulator for consumer credit and consumer leases under the national credit legislation.  This legislation includes:

• the National Credit Code (which is in Schedule 1 to the National Consumer Credit Protection Act 2009 (National Credit Act)) – which contains requirements in relation to the entry into, terms and enforcement of credit contracts and consumer leases
• the National Credit Act – which contains requirements for persons who are involved in consumers obtaining credit contracts or consumer leases (including both the credit providers and lessors, and other persons such as finance brokers) to be licensed and to comply with responsible lending requirements.   

We have issued detailed guidance and general information to help you understand the credit licensing process and your obligations under the credit legislation.

However, you may also need to get professional advice on how the law applies to your situation.

Information for consumers and borrowers on using credit wisely and managing debt is available on our MoneySmart website at www.moneysmart.gov.au.

Related links

• Getting a credit licence
• Regulatory index – Credit
• National Credit Act and regulations

More in this section

• General conduct obligations: Competence and training, financial requirements, dispute resolution, compensation and insurance, trust accounts
• Responsible lending: You must ascertain and verify a consumer’s financial situation, and assess whether the credit contract is not unsuitable.
• Credit contracts and disclosure
• Credit relief: ASIC relief from various provisions of the credit legislation
• Credit infringements and offences
• Credit compliance tools: Tools for small credit businesses and finance brokers when preparing or updating a compliance plan
• Debt collection
• Schedule 1 Forms - Credit Regulations