This order, which comes into force on 17 September 2021, defers, for 2 months, the commencement of most of the provisions of the Credit Contracts Legislation Amendment Act 2019 that were due to come into force on 1 October 2021 under the Credit Contracts Legislation Amendment Act Commencement Order 2020.

The provisions to be deferred include the following:

• new rules strengthening requirements to lend responsibly, including new rules about the inquiries that lenders must make, before entering into agreements, so as to be satisfied that it is likely that the credit or finance provided under the agreement will meet the borrower’s requirements and objectives and that the borrower will make the payments under the agreement without suffering substantial hardship:

• duties to be imposed on directors and senior managers to ensure that lenders comply with their obligations:

• lender advertising to be subject to minimum advertising standards. In addition, if a lender advertises credit in a language, they would also have to offer to provide the borrower with information about the loan in that language:

• creditors and debt collectors to be required to disclose specific information to debtors before starting debt collection activity.

The deferral does not apply to the new requirements for certification, which will commence on 1 October 2021 as provided for in the commencement order made in 2020. Under those requirements, all directors and senior managers of lenders offering consumer credit contracts will be required to meet a “fit and proper person” test in order for the lender to register under the Financial Service Providers (Registration and Dispute Resolution) Act 2008. Those requirements will also apply to mobile traders.