Introduction

Lenders and mortgage brokers providing consumer credit must meet credit disclosure obligations under the National Consumer Credit Protection Act 2009 (Cth) (‘NCCP Act‘) and the National Credit Code. The required disclosure document depends on the business’s role, credit activity, and transaction: a credit guide, credit quote, credit proposal disclosure document, written assessment, pre-contractual statement, information statement, or Key Facts Sheet may apply.

Consumer credit disclosure does not apply to commercial lending, while separate low-cost credit contract rules for buy now pay later contracts have applied since 10 June 2025. This guide explains the documents required for each role, what they must contain, when they must be given, and the consequences of non-compliance with responsible lending obligations.

Disclosure Requirements Under the NCCP Act

The Disclosure Framework Under Chapter 3 and Schedule 1

Chapter 3 of the NCCP Act establishes responsible lending disclosure obligations for credit licensees, credit assistance providers and credit representatives. It covers documents such as a credit guide, credit quote, credit proposal disclosure document and written assessment.

Schedule 1, the National Credit Code, regulates consumer credit contracts where:

• the lender operates a credit business;
• a charge is made for providing credit;
• the debtor is a natural person or strata corporation; and
• the credit is mainly for personal, domestic, household or residential investment purposes.

These consumer credit disclosure rules do not apply to commercial lending or business loans.

Distinguishing Documents for Lenders Versus Mortgage Brokers

The required credit disclosure documents depend on the business role. A credit provider may be a lender, assignee or lessor, while a mortgage broker usually operates as a credit assistance provider.

• Credit providers, assignees, and lessors: Must generally provide a credit guide. A credit provider must also provide a final written assessment when requested under Section 132 of the NCCP Act.
• Credit assistance providers, including mortgage brokers: Must mainly provide a credit guide, credit quote, credit proposal disclosure document and preliminary written assessment when requested. A credit quote may not be required where the relevant fee exemption applies.
• Credit representatives: Must generally provide a credit guide. Typically, there are no separate requirements for a credit quote, credit proposal disclosure document or written assessment.

Sections 113, 114, 120, 121, 126, 132 and 158 of the NCCP Act identify key obligations for these roles. The applicable documents depend on the credit activities performed, the fees charged and whether the consumer requests a written assessment.

What Lenders and Mortgage Brokers Must Disclose in Credit Guides

Mandatory Information for Credit Guides

A credit guide must be provided in writing under Section 113 of the NCCP Act by a credit assistance provider, including a mortgage broker, when it becomes apparent that credit assistance is likely to be provided. Under Section 126 of the NCCP Act, a credit provider must provide a credit guide as soon as practicable after it becomes apparent that a credit contract is likely to be entered into.

The required information depends on the entity’s role. A credit guide must generally include:

• Business identification: the name, contact details and Australian credit licence number or credit representative number.
• Fees and remuneration: applicable fees, charges, indirect remuneration, methods of calculation and relevant lender relationships.
• Lender relationships: the six credit providers or lessors with whom a credit assistance provider conducts the most business.
• Dispute procedures: internal dispute resolution contact details and access details for the Australian Financial Complaints Authority.
• Responsible lending information: relevant obligations under the NCCP Act, including information about requesting a written assessment.

Under Section 158 of the NCCP Act, credit representatives also have credit guide obligations. Their guide must include applicable indirect remuneration, fees and charges, lender relationships, third-party referral payments and volume bonus information, subject to the relevant qualifications in the National Consumer Credit Protection Regulations 2010 (Cth) (‘NCCP Regulations‘).

Timing Requirements and Relevant Exemptions

A credit assistance provider must give its credit guide as soon as practicable after it becomes apparent that credit assistance is likely to be provided, and a credit provider as soon as practicable after it becomes apparent that a credit contract is likely to be entered into, as set out above.

A credit guide may not be required where the same consumer received one within the previous 12 months, provided the required Australian Financial Complaints Authority (‘AFCA’) contact details were already supplied and remain unchanged. Regulation 28P of the NCCP Regulations also recognises exemptions for certain product designers, franchisees, credit representatives, debt collectors and shared-responsibility arrangements. A credit assistance provider may also be exempt from giving a credit quote where no fees or charges are imposed, subject to the applicable disclosure conditions in Regulation 28C of the NCCP Regulations.

Additional Disclosure Documents for Mortgage Brokers

Quotes for Credit Assistance

Under Section 114 of the NCCP Act, a licensee must provide a written credit quote before providing credit assistance involving a particular credit contract, credit provider or credit limit increase. The consumer must sign and date the quote, or otherwise accept it in the prescribed manner, before credit assistance is provided. The licensee must also give the consumer a copy of the accepted quote.

The quote must identify:

• the services covered;
• the maximum amount payable;
• relevant fees and charges;
• amounts payable to another person on the consumer’s behalf; and
• whether payment remains due if the credit contract is not entered into.

Regulations 28C–28D of the NCCP Regulations provide further requirements. A quote is not required where the credit assistance provider does not impose, or intend to impose, fees or charges, subject to the prescribed disclosure conditions.

Credit Proposal Disclosure Documents

Under Section 121 of the NCCP Act, a licensee must provide a credit proposal disclosure document at the same time as providing credit assistance for a particular credit contract. The document must state:

• the consumer’s fees and charges;
• fees likely to be payable to the credit provider or another person;
• a reasonable estimate of indirect remuneration; and
• the method used to calculate those amounts.

The document must also disclose payments to third-party referrers, include a statement about volume bonus arrangements, and estimate the credit likely to remain available after specified payments. Regulations 28E–28H of the NCCP Regulations prescribe further requirements. A fee amount may be omitted where it was disclosed in a credit quote given no more than 30 days earlier, remains unchanged, and the proposal document refers to that quote.

Preliminary Written Assessments

Under Section 120 of the NCCP Act, a credit assistance provider must give a consumer a free copy of the preliminary written assessment if requested within seven years after the date of the credit quote. The obligation does not apply where the provider did not provide credit assistance.

The timeframe depends on when the request is made:

• Within two years of the quote: the assessment must be provided within seven business days.
• More than two years after the quote: the assessment must be provided within 21 business days.

The credit assistance provider must not request or demand payment for supplying the assessment. Section 120 of the NCCP Act also creates civil penalties for non-compliance, with a criminal penalty applying to specified contraventions as a strict liability offence.

Additional Disclosure Documents for Lenders

Pre-Contractual Statements and Information Statements

Under Section 16 of Schedule 1 to the National Credit Code, a credit provider must give the debtor a pre-contractual statement plus an information statement before entering a credit contract or before the debtor makes an offer, whichever occurs first. The pre-contractual statement must set out the matters required by Section 17 of the National Credit Code, including prescribed financial information.

The pre-contractual statement may form part of the proposed credit contract or be provided separately. It may also be varied before the contract is entered into by written notice setting out the variation. A credit provider may disclose a comparison rate before entering the contract, but it must be calculated as prescribed by the regulations with the required warnings.

Written Unsuitability Assessments

Under Section 132 of the NCCP Act, a consumer may request a written copy of the lender’s assessment before entering a credit contract or increasing a credit limit. The credit provider must provide the assessment before the contract is entered into, or the limit is increased.

A consumer may also request the assessment within seven years after the credit contract is entered into, or the credit limit is increased. Requests made within two years must be answered within seven business days; later requests must be answered within 21 business days. The credit provider must not charge for supplying the assessment.

Home Loan Key Facts Sheets

Section 133AA of the NCCP Act defines a standard home loan as a standard-form credit contract used to purchase residential property or refinance credit used mainly for that purpose.

If the proposed credit contract is a standard home loan, the NCCP Act imposes the following Key Facts Sheet obligations on the lender:

• Website obligation: Under Section 133AC, a licensee whose website can be used to apply for, or make an inquiry about, its standard home loans must enable consumers to generate an up-to-date, printable Key Facts Sheet for each of those loans through the website.
• Request obligation: Under Section 133AD, a licensee must provide an up-to-date Key Facts Sheet when a consumer requests one other than through the website, or where the regulations require one in prescribed circumstances, once the consumer has given their name and required contact details.
• Content: Under Section 133AB, the Key Facts Sheet must contain the information required by the regulations, which may include consumer-specific information about the cost and implications of the loan.

The obligation to provide a Key Facts Sheet is therefore triggered by a consumer request or a prescribed circumstance, rather than arising automatically for every home loan. If the lender needs more information to prepare the Key Facts Sheet, it must tell the consumer what information is required under Section 133AE.

Under Sections 133AE(4) and 133AF of the NCCP Act, a lender has a defence for not providing a Key Facts Sheet where:

• it has told the consumer what information it needs and the consumer has not provided that information;
• it, or another person, has already provided the consumer with a Key Facts Sheet for the same loan that would be the same apart from its date;
• it reasonably believes the consumer would not be eligible for the standard home loan; or
• the regulations provide that a Key Facts Sheet is not required.

Low-Cost Credit Contracts and Buy Now Pay Later

The low-cost credit contract rules apply to buy now pay later contracts from 10 June 2025. From then, a person engaging in credit activities involving buy now pay later contracts must hold an Australian credit licence with the appropriate authorisations, subject to the transitional arrangements described in Information Sheet 285.

A buy now pay later contract may qualify as a low-cost credit contract if it satisfies the requirements for that category, including prescribed requirements concerning:

• fees;
• charges; and
• the period during which credit may be provided under Section 13E of the National Credit Code.

Providers of low-cost credit contracts may elect to comply with modified responsible lending obligations, but they must still meet specific disclosure requirements under the National Credit Code.

Under Section 16(1A) of the National Credit Code, a credit provider must not enter into a low-cost credit contract unless it has first given the debtor:

• a precontractual statement setting out the matters required by Section 17 to be included in the contract document; and
• an information statement that complies with the requirements prescribed by the regulations and any requirements determined by the Australian Securities and Investments Commission (ASIC) under Section 16(1B).

These documents must be given before the contract is entered into or before the debtor makes an offer, whichever occurs first. The key difference from ordinary consumer credit contracts is the information statement: under Section 16(1), an ordinary credit contract requires an information statement in the form prescribed by the regulations, whereas the information statement for a low-cost credit contract may also be subject to requirements set by ASIC by legislative instrument.

Under Section 17(7A) of the National Credit Code, where more than one repayment is to be made under a low-cost credit contract, the contract document must state the frequency of repayments and, if ascertainable, the amount and number of repayments and the total amount of the repayments. If the repayment amount is not ascertainable, the contract must state the method of calculating the repayments.

A buy now pay later contract that is not a low-cost credit contract is not automatically regulated in the same way as an ordinary credit contract. Under Section 13B of the National Credit Code, the Code applies where it would otherwise apply, and also extends to certain buy now pay later contracts involving a constitutional corporation that would otherwise fall outside the Code, for example because no charge is made for providing credit or because of the short-term credit or account-charge exclusions. Whether and how the Code applies therefore depends on the contract and the parties.

How Credit Disclosure Documents Must Be Provided

Disclosure Timing and Electronic Delivery

Under Regulation 28L of the NCCP Regulations, a disclosure document may be given personally. Electronic delivery or access through an electronic document retrieval system is permitted only with the consumer’s consent, which may be withdrawn at any time.

For precontractual documents, regulations 72A–72C of the NCCP Regulations apply alongside Section 16 of Schedule 1 to the National Credit Code. The credit provider must be reasonably satisfied that the debtor received the documents before entering into the credit contract or making an offer.

Electronic documents must be provided in a format that can be saved or printed. Retrieval systems require notice identifying the documents, access details, and a reasonable period for retrieval.

Combining Multiple Disclosure Documents

Two or more disclosure documents may be combined into one document if all requirements of the NCCP Act and the NCCP Regulations are met, including the required timing.

A credit assistance provider may combine a credit guide with a credit quote where:

• all required information for each document is included;
• the combined document is provided as soon as practicable after credit assistance becomes likely; and
• credit assistance is not provided until the consumer accepts the quote by signing and dating it.

Consequences for Failing to Meet Disclosure Obligations

Civil Penalties and Criminal Offences

A failure to meet credit disclosure obligations is a breach of the law, and businesses facing compliance issues should seek advice from Australian credit licence compliance and regulatory lawyers.

Under Sections 113, 114, 120, 121, 126 and 132 of the NCCP Act, relevant contraventions are civil penalty provisions, each specifying a penalty of 5,000 penalty units. However, this is the penalty specified for each provision, not necessarily the maximum a court may impose.

Under Section 167B of the NCCP Act, the maximum pecuniary penalty is calculated differently for individuals and bodies corporate:

• Individuals: the greater of the specified penalty and, if the court can determine it, three times the benefit derived and detriment avoided because of the contravention.
• Bodies corporate: the greatest of the specified penalty multiplied by 10, three times the benefit derived and detriment avoided, and 10% of annual turnover for the relevant 12-month period (capped at 2.5 million penalty units).

Certain failures may also constitute strict liability criminal offences. Under Sections 113, 120 and 126 of the NCCP Act, a person who contravenes specified requirements may face a criminal penalty of 50 penalty units.

In addition, ASIC may:

• suspend or cancel a credit licence;
• impose licence conditions; or
• issue an infringement notice.

Common Compliance Failures

Common failures occur when a credit provider or credit assistance provider does not provide the required disclosure document at the correct time. Examples include:

• failing to give a credit guide;
• providing a credit quote without required acceptance; or
• omitting fees, charges or indirect remuneration from a credit proposal disclosure document.

A pre-contractual statement or information statement provided after the relevant credit contract is entered into may not satisfy Section 16 of Schedule 1 to the National Credit Code.

Similar issues may arise when:

• a written assessment is not provided within the applicable seven-business-day or 21-business-day period; or
• a provider charges for supplying an assessment.

Conclusion

The disclosure document required depends on the business role, credit activity and transaction, with responsible lending obligations applying differently to credit providers, mortgage brokers and credit representatives. Accurate credit disclosure, timely delivery and complete information about fees and charges help reduce the risk of civil penalties, criminal offences and regulatory action.

For support with drafting a credit guide, credit quote, credit proposal disclosure document, credit contract or written assessment, contact AFSL and Australian credit licensing compliance lawyers at AFSL House. The AFSL House team assists lenders and mortgage brokers with credit licensing and disclosure compliance, including ongoing Australian credit licence compliance.

Frequently Asked Questions

Disclaimer: All information provided in this article is strictly general in nature and is not intended to be, nor should it be relied upon as, legal advice.