Joint submission by Financial Rights with Consumer Action Law Centre, Financial Counselling Australia, WEstjustice, Consumer Credit Legal Service (WA) Inc, Financial Counselling Victoria (FCVic) and Uniting Communities Consumer Credit Law Centre SA supporting the support the Australian Government’s moves to require some debt management firms to hold an Australian Credit Licence and join the Australian Financial Complaints Authority.
While some businesses stepped up to help Australians to recover from the COVID-19 crisis, others sought to profit from people’s desperate financial circumstances. Debt management firms (also known as “debt vultures”) are among the worst—promising a life free from debt but instead charging large fees, giving bad advice and leaving people in even worse financial strife.
