Document ID: chunk:federal_register_of_legislation:F2024C00882:schedule:1:p14
Version: federal_register_of_legislation:F2024C00882
Segment Type: schedule
Provision Reference: sch 1 (pt 14/40)
Character Range: 429610–432124

financial advice.
  However, there will be no warning notice if—
           * there is a good reason to think the debtor committed a fraud to persuade the credit provider to enter into the contract; or
           * the credit provider has been unable to locate the debtor after making reasonable efforts to do so; or
           * the court says so; or
           * there is a good reason to think that the debtor has, or will, remove or dispose of mortgaged goods without the credit provider's consent, or that urgent action is necessary to protect mortgaged property.

 18 When can the credit provider enforce a judgment against me?
  When—
           * the credit provider has judgment against the debtor and if the judgment amount has still not been met 30 days after the credit provider has asked the debtor in writing to pay it; or
           * the court says so because recovery from the debtor is unlikely; or
           * the credit provider has been unable to locate the debtor after making reasonable efforts to do so; or
           * the debtor is insolvent.

 19 If the debtor can not be found and the credit provider intends to take legal action against me do I get any warning?
  You may not. See the answer to question 17.

 20 Can the credit provider take action against me without first taking action against the debtor?
  Yes, but the credit provider will not be able to enforce any judgement against you except in the circumstances described in the answer to question 18.

 21 How much do I have to pay the credit provider if the debtor defaults?
  You have to pay what the debtor owes the credit provider, subject to any limit provided in the guarantee, plus the credit provider's reasonable expenses in making you honour your contract of guarantee.

General

 22 What can I do if I am asked to pay out the credit contract and I can not pay it all at once?
  Talk to the credit provider and see if some arrangement can be made about paying.
  If you can not come to a suitable arrangement, contact the AFCA scheme.
  There are other people, such as financial counsellors, who may be able to help.

 23 If I pay out money for a debtor, is there any way I can get it back?
  You can sue the debtor, but remember, if the debtor can not pay the credit provider, he or she probably can not pay you back for a while, if at all.

 24 What happens if I go guarantor for someone who is under 18 when he or she signs a credit contract?
  You are responsible for the full debt if the contract of guarantee