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Credit Contracts and Consumer Finance Act 2003

Consumer credit contracts - Provisions relating to debtors under high-cost consumer credit contracts - Purpose, outline, and interpretation

45A: Purpose of this subpart

You could also call this:

"Protecting You from Harmful Debt"

Illustration for Credit Contracts and Consumer Finance Act 2003

The purpose of this part of the law is to protect you from harm caused by getting too much debt from high-interest loans. This happens when you default on a loan or keep extending the payment terms. It also aims to protect you from excessive interest and fees when you borrow money repeatedly from high-interest loans.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS347711.

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Topics:
Money and consumer rights > Consumer protectionMoney and consumer rights > Banking and loans
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45: Fees or charges passed on by creditor, or

"What you pay when a creditor passes on fees or charges to you"

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45B: Outline of this subpart, or

"Rules for Borrowing Money and What Happens if They're Broken"

Part 2Consumer credit contracts
Provisions relating to debtors under high-cost consumer credit contracts: Purpose, outline, and interpretation

45APurpose of this subpart

  1. The purpose of this subpart is—

  2. to protect consumers from the harm caused by accumulating excessive debts from default on high-interest loans or from rolling over or extending payment terms of high-interest loans; and
    1. to protect consumers from the harm caused by excessive interest and fees from repeat borrowing under high-interest loans.

      Notes
      • Section 45A: inserted, on , by section 25 of the Credit Contracts Legislation Amendment Act 2019 (2019 No 81).