Victorian Consolidated Legislation

Credit Act 1984 - SECT 84

Appropriation of payments between contracts

84. Appropriation of payments between contracts

A debtor who is liable to make payments in respect of two or more regulated
contracts to the same credit provider shall, notwithstanding any agreement to
the contrary, be entitled, on making a payment in respect of the contracts
which is not sufficient to discharge the total amount then due under all the
contracts, to require the credit provider to appropriate the amount so paid in
or towards the satisfaction of the amount due under any one or more of the
contracts, or in or towards the satisfaction of the amount due under any two
or more of the contracts in such proportions as the debtor specifies and, if
the debtor fails to make such an appropriation, the payment shall, unless the
debtor and the credit provider otherwise agree, be appropriated in or towards
the satisfaction of the amounts due under the respective contracts in the
order in which the contracts were entered into.