Privacy and Debt Collection Christine Amanatidis Senior Manager – Privacy and Debt Collection christine.amanatidis@cio.org.au (02) 9273 8470

Covered today Complaints received by PDC About the complaints received Common reference points Documents we require Case studies

2,311 PDC complaints received in 2016/2017

Top issues received by PDC Default listing No notices Incorrectly accelerated debt Financial hardship Liability dispute

Top issues received by PDC Harassment Excessive contact Conduct during contact Third party representatives Breach of privacy

Top issues received by PDC Disputes about the debt Debt is not theirs, or some kind of fraud Debt is statute barred Debt was previously paid Unauthorised transactions Interest, fees, or charges disputed

Single issue complaints

Two-issue complaints

Three-issue complaints

Common reference points Relevant Laws Privacy Act CR Code National Credit Act NCC ASIC Act Other applicable laws Codes Banking Code of Practice ACDBA Code of Practice Debt Collection Guideline Good Industry Practice OAIC Privacy Fact Sheets and Determinations

Documents that we require* Account statements Notices/ written correspondence File notes Application, contract, T&Cs Default listing x Financial hardship Harassment Disputed liability Disputed debt amount Judgment Copy of sealed judgment + notice of assignment

Responding to a complaint Case studies

Case study 1: Default listing The consumer says that a default was listed on his credit file in November 2016, but he did not receive any prior notice. He says he informed the FSP, on his application form, that he only wanted correspondence via email. The FSP said that all notices were issued via post to the consumer’s residential address. The FSP also sent a field agent to the consumer’s address. Someone there informed the agent that the consumer was not there and had not lived there since 2013.

Notices/ written correspondence Application, contract, T&Cs Discussion Account statements Notices/ written correspondence File notes Application, contract, T&Cs Default listing x

Case study 2: Financial hardship The consumer says that on 1 March 2016, she told the FSP that she lost her job and would be unable to make payment until she found another one. The FSP said that was not a problem, but required that she complete and return a SOFP within 21 days. The FSP says that the consumer did not make a hardship application because she did not return the SOFP, so it listed a default on 25 April 2016.

Notices/ written correspondence Application, contract, T&Cs Discussion Account statements Notices/ written correspondence File notes Application, contract, T&Cs Financial hardship x

Case study 3: Undue harassment The consumer says the FSP has been calling him multiple times in a day. He recognizes its number and does not answer because when he does, the FSP ignores what he has to say, talks over him, and threatens to commence legal action. He asked the FSP to email him instead of calling. The FSP sent letters to the consumer demanding payment of the debt and offering payment arrangements.

Notices/ written correspondence Application, contract, T&Cs Discussion Account statements Notices/ written correspondence File notes Application, contract, T&Cs Harassment x

Case study 4: Disputed liability The consumer says that she does not owe the debt because it does not belong to her. Although her name and birth date are the same, she has never lived at the address on the contract and her occupation is different.

Notices/ written correspondence Application, contract, T&Cs Discussion Account statements Notices/ written correspondence File notes Application, contract, T&Cs Disputed liability x

Case study 5: Disputed amount of debt The consumer says he disputed the amount in a default notice with the FSP in March 2016. He says that he lost his credit card in January 2015 and notified the FSP at the time, but did not hear from the FSP and so thought it was all dealt with. The FSP listed a default in May 2016 for the disputed amount.

Notices/ written correspondence Application, contract, T&Cs Discussion Account statements Notices/ written correspondence File notes Application, contract, T&Cs Disputed debt amount x

Case study 6: Paragraph 20.5 CR Code The consumer says she was a victim of domestic violence in 2014. She has now discovered that the FSP default listed her in 2014. The consumer says that she paid the debt in 2016 and is asking for the default to be removed from her credit file.

Case study 6: Paragraph 20.5 CR Code an individual enters into a new arrangement with a CP of the kind referred to in Section 6S(1)(c) or a CP has disclosed payment information in relation to the individual; and the individual requests a CRB to correct the credit reporting information held by the CRB about the individual by removing default information that relates to an overdue payment that is the subject of that new arrangement or payment information; and the request is made on the basis that the overdue payment occurred because of the unavoidable consequences of circumstances beyond the individual's control, such as natural disaster, bank error in processing a direct debit or fraud,

Case study 6: Paragraph 20.5 CR Code an individual enters into a new arrangement with a CP of the kind referred to in Section 6S(1)(c) or a CP has disclosed payment information in relation to the individual; and the individual requests a CRB to correct the credit reporting information held by the CRB about the individual by removing default information that relates to an overdue payment that is the subject of that new arrangement or payment information; and the request is made on the basis that the overdue payment occurred because of the unavoidable consequences of circumstances beyond the individual's control, such as natural disaster, bank error in processing a direct debit or fraud,

Meet me at the Q&A session Christine Amanatidis christine.amanatidis@cio.org.au (02) 9273 8470