Document ID: chunk:federal_register_of_legislation:C2012A00130:clause:4_23a
Version: federal_register_of_legislation:C2012A00130
Segment Type: clause
Provision Reference: sch 4 cl 23A
Character Range: 82940–83946

23A  Prohibited monetary obligations—small amount credit contracts
 (1) A small amount credit contract must not impose a monetary liability on the debtor:
 (a) in respect of an interest charge (including a default rate of interest) under the contract; or
 (b) in respect of a fee or charge prohibited by this Code; or
 (c) in respect of an amount of a fee or charge exceeding the amount that may be charged consistently with this Code.
 (2) If a provision of a small amount credit contract imposes a monetary liability prohibited by subsection (1) then:
 (a) each provision (the void provisions) of the contract that imposes a monetary liability of a kind referred to in that subsection (whether or not the liability is imposed consistently with this Code) is void to the extent that the provision relates to the liability; and
 (b) the debtor may recover as a debt due to the debtor any amount paid to the credit provider under the void provisions to the extent that the amount relates to the liability.