Buy-Now-Pay-Later, consumer leases, and the credit-product perimeter — where consumer-credit law applies and where it doesn't.
Consumer leases, BNPL, and debt — the regulatory shape
The Australian credit-product landscape includes traditional loans (regulated under the National Credit Code), BNPL products (transitioning to ASIC-regulated), and consumer leases (regulated). The regulatory shape affects how debts can be recovered.
What's covered by the National Credit Code
- Personal loans, mortgages, credit cards.
- Most consumer leases (with some carve-outs).
- Some BNPL products following recent regulatory changes.
For these, the full ACCC/ASIC Debt Collection Guideline applies, plus consumer-credit-specific protections (responsible lending, hardship variation rights, etc.).
What's at the perimeter
- Pure-trade credit (B2B invoices) — not consumer credit, different regime.
- Some merchant-financed deals — case-by-case.
- Unregulated lending products — rare but they exist.
What this means for recovery
For consumer-credit-regulated debts, the recovery sequence must respect:
- Hardship-variation rights under the Credit Code.
- Pre-default notice requirements.
- Specific complaint pathways (AFCA mandatory, internal disputes process).
For non-credit debts (most B2B, most utility), the broader Debt Collection Guideline applies but credit-specific rights don't.
BNPL specifically
BNPL products have moved into ASIC regulation. Recovery activity must align with consumer-credit standards. Aggressive recovery on a BNPL debt now invites ASIC scrutiny that didn't apply two years ago.