Victorian Consolidated Legislation

Consumer Credit (Victoria) Act 1995 - SECT 37K

Fee representing reasonable costs and expenses payable in certain circumstances

37K. Fee representing reasonable costs and expenses payable in certain
circumstances



(1) Despite section 37J, if the requirements of paragraphs (a) to (e) of
section 37J(1) have been met, the finance broker may charge a fee in respect
of the reasonable costs incurred, and a reasonable fee for the services
provided, by the finance broker in negotiating consumer credit on behalf of
the client if-

   (a)  the finance broker successfully negotiates the consumer credit
        specified in the document of appointment, but the client declines to
        accept that consumer credit; or

   (b)  the client terminates the appointment for any reason other than-

   (i)  the finance broker advising them that all avenues for obtaining the
        consumer credit specified in the document of appointment have been
        exhausted; or

   (ii) the finance broker engaging in conduct that entitles the client to
        terminate the appointment; or

   (iii) the finance broker repudiating the appointment; or

   (iv) the agreed maximum amount of credit application and valuation fees
        required to be paid by the client having been paid but the consumer
        credit specified in the document of appointment not having been
        negotiated within a reasonable time after the payment; or

   (v)  the consumer credit specified in the document of appointment not
        having been negotiated within the time agreed to in the document of
        appointment.

(2) The finance broker must not charge a fee under subsection (1) unless the
finance broker and the client agree in the document of appointment to such a
fee being charged.