Document ID: chunk:federal_register_of_legislation:C2024C00826:clause:1_17:p3
Version: federal_register_of_legislation:C2024C00826
Segment Type: clause
Provision Reference: sch 1 cl 17 (pt 3/5)
Character Range: 774590–777179

that effect and of the means by which the debtor will be informed of the change or the new fee or charge.
Note: A penalty may be imposed for contravention of a key requirement in this subsection: see Part 6.

Statements of account
 (10) The contract document must contain the frequency with which statements of account are to be provided to the debtor (except in the case of a credit contract for which the annual percentage rate is fixed for the whole term of the contract and under which there is no provision for varying the rate).

Default rate
 (11) The contract document must contain:
 (a) if the contract is a contract under which a default rate of interest may be charged when payments are in default—a statement to that effect and the default rate and how it is to be applied; and
 (b) if the default rate under the contract is determined by referring to a reference rate:
 (i) the name of the rate or a description of it; and
 (ii) the margin or margins (if any) above or below the reference rate to be applied to determine the default rate; and
 (iii) when and where the reference rate is published or, if it is not published, how the debtor may ascertain the rate; and
 (iv) the current default rate.
Note: A penalty may be imposed for contravention of a key requirement in this subsection: see Part 6.

Enforcement expenses
 (12) The contract document must contain a statement that enforcement expenses may become payable under the credit contract or mortgage (if any) in the event of a breach.

Mortgage or guarantee
 (13) The contract document must contain:
 (a) if any mortgage or guarantee is to be or has been taken by the credit provider—a statement to that effect; and
 (b) in the case of a mortgage—a description of the property subject to, or proposed to be subject to, the mortgage, to the extent to which it is ascertainable.

Commission
 (14) If a commission is to be paid by or to the credit provider for the introduction of credit business or business financed by the contract, the contract document must contain:
 (a) a statement of that fact; and
 (b) the person by whom the commission is payable; and
 (c) the person to whom the commission is payable; and
 (d) the amount if ascertainable.
Commission does not include fees payable by a supplier under a merchant service agreement with a credit provider, an amount payable in connection with a credit‑related insurance contract or commission paid to employees of the credit provider.

Insurance financed by contract
 (15) If the credit provider knows that the debtor is to enter into a credit‑related insurance