Document ID: chunk:federal_register_of_legislation:F2022L00976:body:0:p1
Version: federal_register_of_legislation:F2022L00976
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Character Range: 0–2908

ASIC Corporations (Product Intervention Order—Continuing Credit Contracts) Instrument 2022/648
I, Greg Yanco, delegate of the Australian Securities and Investments Commission, make the following legislative instrument.
Date 13 July 2022

Greg Yanco

Contents

Part 1—Preliminary
1 Name of legislative instrument
2 Commencement
3 Authority
4 Definitions
Part 2—Order
5 Continuing credit contracts
6 Application

Part 1—Preliminary

1 Name of legislative instrument
This is the ASIC Corporations (Product Intervention Order—Continuing Credit Contracts) Instrument 2022/648.

2 Commencement
This instrument commences on a day that is the second day after the instrument is registered on the Federal Register of Legislation.
Note: The register may be accessed at www.legislation.gov.au.

3 Authority
This instrument is made under subsection 1023D(3) of the Corporations Act 2001.

4 Definitions
In this instrument:
Act means the Corporations Act 2001.
associate, in relation to a primary person that is a continuing credit provider, has the meaning given by sections 11 and 15 of the Act.

       buy now pay later arrangement means an arrangement or series of arrangements comprising:

           (a) an arrangement between a person (the merchant) and another person (the retail client) in relation to the supply of goods or services by the merchant to the retail client; and

           (b) any of the following:

              (i)  an arrangement between the merchant and a person (the BNPL provider) in relation to which the BNPL provider pays the merchant some or all of the price for the supply of those goods or services to the retail client;

              (ii)  an arrangement between the retail client and a person (the BNPL provider) in relation to which, when the retail client is required to pay the merchant for the supply of those goods or services, the retail client pays the merchant some or all of the price by using a credit card or debit card identifier provided or made available by the BNPL provider to the retail client for such a purpose;

(iii) an arrangement between the retail client and a person (the BNPL provider) in relation to which the BNPL provider pays, through a bill payment system specified by the merchant, some or all of a bill issued by the merchant to the retail client for the supply of those goods or services to the retail client; and
              Note:  For example, the bill payment system may be the BPAY bill payment system.

           (c) an arrangement between the BNPL provider and the retail client which includes a continuing credit contract in relation to which the retail client pays the BNPL provider over time in relation to the supply of those goods or services;

       but only where the principal business of the merchant is not the supply of administration, brokerage, management, collection, recovery or other services in relation