Credit licensees & mortgage brokers compliance in New South Wales

BNPL providers — credit licensing from 10 June 2025

BNPL captured by the NCCP Act as a regulated credit product from 10 June 2025.

Mortgage broker best interests duty

Brokers must act in the consumer's best interests when providing credit assistance.

Comply with Design and Distribution Obligations (DDO)

Issuers and distributors of retail financial products must have a Target Market Determination (TMD) and distribute consistently with it.

Comply with NCCP responsible lending obligations

Credit licensees must not enter into credit contracts unsuitable for the consumer.

Small Amount Credit Contract + Consumer Lease caps (post-SACC reforms)

SACC + consumer lease fee caps + responsible lending tightened post-Royal Commission.

Notify the OAIC and affected individuals of eligible data breaches

Eligible data breaches must be notified to OAIC and affected individuals 'as soon as practicable'.

Display comparison rate on credit product advertising

Annual percentage + comparison rate must accompany credit product ads under NCCP Regulations.

Pre-2025 ban on unsolicited credit limit increase invitations

Credit card limit increase offers cannot be sent without prior written consent.

Publish a Privacy Policy compliant with APP 1

Every APP entity needs a clearly-expressed Privacy Policy covering APP 1.4 requirements.

Avoid unfair contract terms in standard form consumer & small business contracts

From November 2023, unfair contract terms carry pecuniary penalties — up to $100M per term (from 28 March 2026).

Comply with the Spam Act 2003 (consent, identify, unsubscribe)

All commercial electronic messages must have consent, identify the sender, and offer a working unsubscribe.

Wash outbound marketing lists against the Do Not Call Register

Lists must be washed within 30 days of the call/SMS unless valid consent.

Comply with credit reporting obligations (Part IIIA Privacy Act)

Credit providers and CRBs must adhere to the CR Code on collection, use, disclosure, hardship and dispute resolution.

Respond to hardship notices within statutory timeframe

Credit providers must consider hardship notices within 21 days under s 72 NCC.