Credit provider not to enter into credit card contract unless it allows for termination of contracts
133BT Credit provider not to enter into credit card contract unless it allows for termination of contracts
Requirement
A licensee must not enter into, or offer to enter into, a credit card contract under which the licensee would be the credit provider, if the consumer who would be the debtor under the contract would not have a credit card termination entitlement under the contract.
Civil penalty: 5,000 penalty units.
Offence
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.
Criminal penalty: 50 penalty units.
Meaning of credit card termination entitlement
A consumer who is the debtor under a credit card contract has a credit card termination entitlement under the contract if the consumer is entitled, under the contract, to terminate the credit card contract.
The statute text is free to read above. View subscription options to unlock the case-law research tools for each provision.