Contacting a Debtor | Legal Advice Help

Communications with the debtor must always be for a reasonable purpose, and should only occur to the extent necessary. It may be necessary and reasonable for you to contact a debtor to:

  • give information about the debtor’s account
  • convey a demand for payment
  • accurately explain the consequences of non-payment, including any legal remedies available to the collector/creditor, and any service restrictions that may apply in the case of utilities (for example, electricity)
  • make arrangements for repayment of a debt
  • put a settlement proposal or alternative payment arrangement to the debtor
  • review existing arrangements after an agreed period
  • ascertain why earlier attempts to contact the debtor have not been responded to within a reasonable period, if this is the case
  • ascertain why an agreed repayment arrangement has not been complied with, if this is the case
  • investigate whether the debtor has changed their residential location without informing you, when there are grounds for believing this has occurred
  • sight, inspect or recover a security interest

or for other similar purposes.

You may also contact a debtor at the debtor’s request.

However, it is not reasonable or acceptable to contact a debtor to:

  • frighten or intimidate the debtor
  • demoralise, or exhaust the debtor
  • embarrass the debtor in front of other people

or for other similar purposes.

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