Consumer Action has joined with 22 other organisations as part of the “Close Lending Loopholes Alliance” to make a submission to Treasury on its Options Paper, Regulating Buy Now Pay Later in Australia (link: https://treasury.gov.au/consultation/c2022-338372).
Buy now, pay later credit products exploit loopholes in Australia’s credit law to sell people into unaffordable debt. This unregulated credit industry is causing serious economic and social harm to people, families and households across the country. At present, these harms far outweigh the benefits BNPL brings to the economy.
The submission recommends that Government apply full regulation of BNPL under the National Consumer Credit Protection Act 2009, and the National Credit Code.
Read the full submission PDF.221223_BNPLOptionsPaper_JointConsumerSub_FINAL