A coalition of consumer advocacy and financial counselling organisations supports the regulation of Buy Now, Pay Later (BNPL) products to prevent unaffordable debt. However, this joint submission raises concerns about the increased cap on default (late) fees in the Draft Regulations, which will disproportionately impact people on low incomes. The submission urges the government to retain the original $120 annual fee cap to better protect consumers in financial hardship.

This submission is made on behalf of:

• CHOICE
• Financial Rights Legal Centre
• Financial Counselling Australia
• Consumer Action Law Centre
• Consumer Credit Legal Service
• Redfern Legal Centre
• Economic Abuse Reference Group
• Financial Counselling Victoria
• Financial Counsellors’ Association of NSW Inc.
• Care ACT
• Mob Strong Debt Help