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Australian Credit Licence Applications

If you engage in credit activities with consumers, you will generally need an Australian Credit Licence. There are two basic streams: one for lenders, and one for intermediaries, such as brokers and other arrangers of finance for consumers.

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Buy Now Pay Later Providers

Since 10 June 2025, providers of buy now pay later credit must hold an Australian Credit Licence. A business that already holds a licence can extend its authorisations to cover buy now pay later contracts. It needs a variation only for new activities, for example moving from assisting with credit to providing it.

Who Can Apply

To apply for an Australian Credit Licence, an applicant must have at least one responsible manager with at least two years of relevant, problem-free experience (see Regulatory Guide 206) and either:

  • Credit industry qualifications to at least Certificate IV level; or
  • Another relevant higher-level qualification, such as a diploma or degree.

The Application Process

The Australian Securities and Investments Commission, called the regulator on this page, has an online application process for credit licences. I can manage it for you. The online application asks many questions about your business, including your proposed credit activities, the types of loans you propose to provide or arrange, details of your responsible managers and their qualifications and experience, and details of your compliance arrangements, conflict management, representatives, adequacy of resources, dispute resolution and hardship procedures, and compensation arrangements.

You must prepare several supporting documents before you can lodge the application.

Along with the online application you must prepare and lodge:

  • A business description that lets the regulator understand how your business works, including the credit activities you propose to engage in.
  • Information showing that your responsible managers, and others involved in managing your credit business, are fit and proper people. This includes a national criminal history check and a bankruptcy check for each person, both dated within the last 12 months.

Other Requirements

Credit licence holders must:

  • Hold professional indemnity insurance that provides at least $2 million in cover per claim (see Regulatory Guide 210). Adequate cover must be in place before the licence is granted, and you must provide a certificate of currency.
  • Be a member of the Australian Financial Complaints Authority when you apply.

A credit licence holder has ongoing obligations to:

  • ensure that credit activities are engaged in efficiently, honestly and fairly;
  • have conflict of interest arrangements;
  • comply with any licensing conditions;
  • comply with credit legislation;
  • maintain competence to engage in credit activities;
  • ensure representatives are adequately trained;
  • have internal dispute resolution procedures;
  • have compensation arrangements (including professional indemnity insurance) for breaches of its obligations;
  • have adequate and documented compliance arrangements and systems;
  • have adequate resources and adequate risk management systems;
  • show its credit licence number on documents;
  • report significant breaches to the regulator within 30 calendar days.

Breach reports are lodged through the regulator’s Regulatory Portal. An investigation into a possible significant breach that continues for more than 30 days must also be reported. If the investigation finds no significant breach, that outcome must also be reported.

How I Can Help

I can prepare and lodge your application and help you meet the ongoing obligations above.

Frequently Asked Questions

A business that engages in credit activities with consumers will generally need an Australian credit licence. The two broad streams cover lenders and intermediaries such as brokers and other businesses that arrange consumer finance.

The online application covers the proposed credit activities, types of loans, responsible managers, compliance and conflict arrangements, representatives, resources, risk management, dispute resolution, hardship procedures and compensation arrangements. Supporting documents must be prepared before lodgement.

A credit licensee must maintain competence, compliance and risk-management systems, train its representatives, manage conflicts, keep dispute-resolution and compensation arrangements, meet licence conditions and report significant breaches to the regulator.