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Providing Credit Services Unlicensed? ASIC Steps Up Enforcement Proceeding

Providing Credit Services Unlicensed? ASIC Steps Up Enforcement Proceedings

ASIC has stepped up enforcement proceedings against those engaging in credit activities without holding an Australian Credit Licence (“ACL”).

As reported in ASIC’s Media Release on 28 April 2021, GoGetta Equipment Funding Pty Ltd was found guilty of engaging in unlicensed consumer leasing in relation to rental agreements entered into with consumers between 30 April 2015 and 21 December 2016.

ASIC’s investigation identified that:

  • GoGetta entered into rental arrangements with consumers for the purpose of hiring motor vehicles; and
  • GoGetta demanded and received fees and other payments in relation to those consumer leases.

Black Collections Pty Ltd was also prosecuted by ASIC and found guilty of engaging in unlicensed credit activities in relation to collecting consumer credit debts between 5 October 2016 and 12 March 2018. Black Collections did not qualify for an exemption to hold an ACL.

They were fined $8,800 for engaging in unlicensed credit activities and $4,400 for falsely holding out that it held a licence which authorised the collection of consumer debts.


ASIC conducts surveillance measures and targets businesses that are operating without a credit licence to protect the interests of consumers and uphold the integrity of the industry. Therefore, it is important to have effective systems, governance and controls are in place to ensure compliance with the law.

Unlicensed providers must have appropriate systems in place to ensure that they do not engage in credit activities that fall within the licensing regime of the National Consumer and Credit Protection Act 2009 (Cth) (“Act”). Unlicensed providers should review their service offering and obtain independent advice to ensure they do not engage in credit activities.

We also suggest reviewing the following ASIC Regulatory Guides available on ASIC’s website:

Background Information

Under section 29 of the Act, a person who engages in credit activities in Australia must hold an Australian Credit Licence with the appropriate authorisations. Failure to comply is an offence that carries a penalty of imprisonment and/or a fine for individuals and corporations.

Further Reading


Should you have any questions in relation to licensing and your obligations, please contact us.

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