Document ID: chunk:federal_register_of_legislation:F2024C00882:reg:40:p2
Version: federal_register_of_legislation:F2024C00882
Segment Type: reg
Provision Reference: reg 40 (pt 2/2)
Character Range: 274659–276883

provided, and will not provide, credit or financial accommodation to a consumer under the scheme or contract—gives the person a right to recover an amount if the consumer is in default in payment of an amount under the scheme or contract;
 (d) requires a consumer to pay a fee or charge that a reasonable person would think is disproportionate in light of the amount of credit, or the extent of the financial accommodation, provided to the consumer under the scheme or contract;
 (e) requires a consumer to pay a fee or charge that a reasonable person would regard as high;
 (f) requires a consumer to pay a fee or charge (the nominated fee or charge), where it is reasonably likely that the consumer will, as a result of that requirement, become liable under the scheme or contract to pay one or more further fees or charges (other than interest fees or charges) in addition to the nominated fee or charge;
 (g) requires a consumer to pay fees or charges to 2 or more persons.
 (4) When having regard to a matter referred to in subparagraph 323B(1)(a)(i) or (ii) of the Act in relation to a scheme, regard must also be had to the following matters:
 (a) whether the scheme involves, or relates to, 2 or more contracts;
 (b) whether the scheme involves, or relates to, 2 or more contracts entered into at different times;
 (c) whether the scheme involves, or relates to, a contract between a consumer and 2 or more other persons;
 (d) whether the scheme involves, or relates to, separate contracts between a consumer and each of 2 or more other persons.

Dispute resolution
 (5) In determining, for the purposes of section 323A of the Act, whether it would be reasonable to conclude that a purpose of a person entering into or carrying out (to any extent) a scheme was an avoidance purpose relating to a contract, regard must be had to the following matters:
 (a) whether the scheme or contract provides for an internal dispute procedure that satisfies the standards and requirements made or approved by ASIC for the purposes of subparagraph 47(1)(h)(i) of the Act;
 (b) whether the scheme or contract provides for an independent external dispute resolution procedure;
 (c) whether the person is a member of the AFCA scheme.