All repossession agents, as well as their employees, must be registered and licensed from 6 June 2015. Those who breach the new laws can be liable for fines up to $40,000 under the Private Security Personnel and Private Investigators Act. The mandatory licensing is one of a number of changes that increase consumer protection under the Credit Contracts and Consumer Finance Amendment Act 2014 (CCCFA). Under the CCCFA, a lender who uses an unlicensed agent will also be liable on conviction for a fine of up to $600,000.
Link: Stricter laws for repossession agents
The information in this article is for informative purposes only and should not be relied on as legal advice. Please contact Chapman Tripp for advice tailored to your situation.
