Repossession

Consumer protection laws, including the National Credit Code (NCC) and Australian Consumer Law (ACL), ensure that repossession is conducted fairly and lawfully. Creditors must provide debtors with a default notice and allow them time to rectify missed payments before proceeding with repossession. Repossession agents must also act ethically and avoid harassment, coercion, or unfair practices during the process.

Under the Privacy Act 1988, repossession agents and creditors must protect debtor information and handle it confidentially. This means:

• Not disclosing debtor details to third parties.
• Ensuring secure handling of personal and financial information.
• Only using debtor data for legitimate recovery purposes.

In Victoria, a repossession agent cannot enter private residential property to recover an asset unless:

• The debtor gives written consent at the time of repossession, or
• The creditor obtains a court order allowing repossession.

However, repossession can occur in a public place, such as a vehicle parked on a street.

If your asset is repossessed, you must receive a Notice After Taking Possession of Mortgaged Goods within 14 days, detailing:

• The estimated value of the asset.
• The amount still owed on the loan.
• Any repossession costs.
• Your right to reinstate or pay off the loan before the asset is sold.

For 21 days after sending that notice, the credit provider can’t sell your car or goods, giving you a chance to get it back if you pay the overdue amount and any reasonable costs.

At Wilmott Risk and Investigations Group, we prioritise clear, ethical communication and follow all legal and industry guidelines, including:

• Respecting debtor rights and treating all parties fairly and professionally.
• Avoiding coercion, harassment, or deceptive conduct.
• Providing transparent information to both creditors and debtors.

 Yes. If a debtor believes the repossession is unlawful or unfair, they can:

• Request proof of default and repossession authority.
• Negotiate alternative solutions, such as a payment plan.
• Seek legal advice or lodge a complaint with Consumer Affairs Victoria.