The Consumer Credit and Corporations Legislation Amendment (Enhancements) Bill 2011 has been introduced into the House of Representatives.

In relation to consumer credit the Bill contains provisions for:

• “Enhancements” (particularly relating to hardship variations), which commence on 1 July 2012
• Reverse mortgages which commence on 1 July 2012
• Small amount credit contracts (“payday lender” or micro-loans) which commence on 1 July 2012
• Caps on interest rates and costs for all other credit contracts which commence on 1 July 2013
• Consumer Leases which commence on 1 July 2012

The exposure drafts were previously discussed here (small amount credit contracts), here (national interest rate cap) and here (reverse mortgages, consumer leases and enhancements).

We will discuss each of the areas affected by the Bill in detailed separate articles in coming weeks.

The Bill will be examined by the Joint Committee on Corporations and Financial Services.[UPDATE: Senate Economics Committee will also examine the Bill]