Consumer credit and responsible lending

What is responsible lending?

Responsible lending means lenders must only give you a loan if it is suitable for you and you can afford to repay it.

This requirement comes from the National Consumer Credit Protection Act 2009 (Cth).

These rules apply when a lender:
• gives you a loan or credit, or
• increases your credit limit

They are designed to stop lenders from putting you into loans that don’t suit your needs or financial situation.