National Consumer Credit Protection Act 2009

A licensee who is the credit provider under a credit card contract must not make a credit limit increase invitation in relation to the contract.

For other provisions that must be complied with in relation to increasing credit limits, see:

Divisions 3 and 4 of Part 3‑2; and

subsection 67(4) and section 67AA of the National Credit Code.

A person commits an offence if:

the person is subject to a requirement under subsection (1); and

the person engages in conduct; and

the conduct contravenes the requirement.

A person commits an offence if:

the person is subject to a requirement under subsection (1); and

the person engages in conduct; and

the conduct contravenes the requirement.

Subsection (3) is an offence of strict liability.

For strict liability, see section 6.1 of the Criminal Code.

A licensee makes a credit limit increase invitation, in relation to a credit card contract, if:

the licensee gives any form of communication that relates to the contract to the consumer who is the debtor under the contract; and

one or more of the following conditions is satisfied in relation to the communication:

the communication offers to increase the credit limit of the contract;

the communication invites the consumer to apply for an increase of the credit limit of the contract;

the licensee gave the communication to the consumer for the purpose (or for purposes including the purpose) of encouraging the consumer to consider applying for an increase of the credit limit of the contract.

The regulations may make provisions that apply to determining whether a communication is covered by the definition in subsection (5).