Other lenders and buy now pay later

Documents to start

Most list none at first. Some ask income, spending or what you can afford.

How to ask

Phone or in writing

Their time to decide

21 days if they ask for nothing more; later if they do

If they say no

The lender, then AFCA, the free complaints scheme

• Find your lender's hardship line and a letter

• You can ask to change your repayments by phone or in writing. The same credit law covers personal loans and credit from non-bank lenders, including buy now pay later. Business loans sit outside it.Law

• The lender doesn't have to agree.

• Lenders that joined the Finance Industry Code don't have to offer an arrangement. They will help if they think it will get your finances back on track. The code applies from 1 October 2026 to products taken out from then, or from when the lender joined if earlier.Industry code

• With a temporary arrangement, such as a pause or lower repayments, the repayments you miss still build up and are owed when it ends. A permanent change, such as a longer loan term, doesn't leave you behind.Regulator's guideline

• If they ask for a ‘statement of financial position’, it usually means a full list of your income, spending, debts and what you own.

• Some lenders' forms ask about your income and spending, what you can afford, or access to your bank statements.Their own policy

• The lender can ask for information within 21 days of your request. The information must be relevant to deciding the request, and if it asks, you have to give it.Law

• Lenders that joined the Finance Industry Code may ask you for information, and may decline if they don't have enough information to support your hardship.Industry code

• AFCA's guidance says excessive requests for information are often a barrier to hardship help. It says bills, rental agreements and rates notices generally aren't needed for a first assessment. The exception is when there's a particular reason to doubt the information.

• If you have relevant documents, AFCA's guidance expects you to share them when you can, unless there's a valid reason they aren't available.

If they ask for more

If they push for more than you can pay

• Credit law gives the lender 21 days from getting your request to decide, if it asks you for nothing.
• If it asks for information, the decision is due 21 days after it gets the information. If you don't send it, the decision is due 28 days after the date in its request.
• A hardship arrangement starts when you and the lender agree to it, not when you first ask. Sometimes it can be backdated, such as when the lender delayed agreeing without good reason.
• If an arrangement is agreed, your credit report may show a mark next to those repayments. It doesn't show the reason. Other lenders can see it. Credit reporting bodies can't use it to calculate your credit score. It's removed one year after a temporary arrangement's last repayment, or one year after a permanent change starts.
• Ask whether you need to keep paying and whether they'll pause a direct debit while they decide. If they offer a pause, ask how the missed repayments are paid back when it ends.

• If the lender says no, credit law says it must tell you in writing, give its reasons and name AFCA, the free complaints scheme. If the reasons aren't in the letter, ask for them in writing.
• You can complain to the lender first, then to AFCA.
• There is a time limit. AFCA generally takes a hardship complaint only within two years of the contract ending. If the lender answered your complaint, it's two years from that answer, if that is later.

Who can help

• AFCA, the free complaints scheme

  1800 931 678

• National Debt Helpline

  Mon–Fri 9:30am–4:30pm phone, 9am–8pm live chat

  1800 007 007Live chat

• Free financial counsellors at the National Debt Helpline explain options and coach you on what to say.
• Outside the helpline's hours, if your email is private, you can email the creditor the words from ‘You can say’. You can also use its online form if it has one.

• If repayments stay unpaid, the lender may record a default on your credit report, go to court, or repossess a car or other goods the loan is secured on.

• A full statement helps for a longer arrangement, a debt waiver or a complaint to AFCA. AFCA asks for one once a complaint is lodged. It will often still progress a complaint without one, but will generally not require a lender to change a credit contract without one.
• A free financial counsellor can help you write down your income, spending and debts.

• Find a financial counsellor

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