Small amount loans are recognised as integral to Australia's credit landscape
Small amount credit contracts (SACCs) "can be useful for consumers when they are used as an emergency source of funding for one-off expenses."
Loans and borrowers
Around the size of the average SACC
Approximate terms of the average SACC
The average income of an SACC borrower is generally lower than the Australian average. However, there appears to have been an increase in the average income since the Enhancements Act was passed.
Average number of payday loans taken out by borrowers between July 2014 and July 2015
Households with customers that had a SACC that had more than one concurrently
Number of payday loans held by 5% of borrowers in the previous 90 days
Amount of applications received by a provider where borrowers had at least one SACC in the previous 90 days
"Repeat borrowing can put some consumers on a path to financial exclusion."
Estimated revenue of the consumer lease industry in 2015-16
Number of consumer leases taken out by Centrelink recipients for household goods in March 2013
The first insights into payday loan laws and what might be ahead
Elizabeth is the Fintech Editor for finder and writes about innovations in financial products and services – think banking products that are easier to access, faster, cheaper and personalised. She started writing about personal finance over five years ago and found it was her passion (which was a surprise to no one more so than herself).
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