Your right to ask for hardship assistance
Under section 72 of the National Credit Code, if you cannot meet your repayments on a regulated credit contract, you can ask your lender to change the terms. This is called a hardship notice. It can be made in writing or over the phone, and the lender must respond within 21 days.
A lender might agree to pause repayments, reduce them for a period, extend the loan term, or a combination. Utility and phone providers also have hardship programs.
How hardship shows on your credit file
When a hardship arrangement is in place, the lender can record financial hardship information on your file. It is kept for 12 months and is not used to calculate your credit score. Making the agreed reduced payments helps protect your repayment history.
How we can help
- Work out a realistic budget and what you can afford
- Prepare a clear hardship request with the right information and evidence
- Deal with your lenders and follow up on their response
- Look at a broader solution, like a debt management plan, if several debts are affected
- Help you escalate to AFCA if a lender does not respond properly
If you are in crisis
If you are worried about your safety or feeling overwhelmed, please contact Lifeline on 13 11 14. For free, confidential financial counselling, call the National Debt Helpline (1800 007 007).
How our fees work
Before we charge for any service, we give you a written Credit Quote that sets out exactly what we will do and what it costs. You decide whether to go ahead. Nothing is charged for the first conversation, and we never guarantee a particular outcome, because the result always depends on the facts on your file and the response of your creditors.