ASIC sues Rent4Keeps and Layaway Depot for breaching the credit act

On 12 April 2022, ASIC announced that it is taking legal action against Rent4Keeps and Layaway Depot in distinct proceedings for apparent breaches of numerous consumer protections under the Credit Act. As per ASIC, both these companies operate a business model that aims to avoid consumer protections for economically weak customers, comprising the annual cost rate cap under the Credit Act.

ASIC kept an eye on these companies and observed the conduct of offering financial products to vulnerable consumers. ASIC found that customers have paid more than the market price for consumer goods like mobile phones and white goods in both cases.

Customer Notice:

Nextgen Global Services Pty Ltd trading as Kapitales Research (ABN 89 652 632 561) is a Corporate Authorised Representative (CAR No. 1293674) of Maven Capital Pty Ltd (AFSL No. 418504). The information contained in this article is general information only. Any advice is general advice only. No consideration has been given or will be given to the individual investment objectives, financial situation or needs of any particular person. The decision to invest or trade and the method selected is a personal decision and involves an inherent level of risk, and you must undertake your own investigations and obtain your own advice regarding the suitability of this product for your circumstances. Please be aware that all trading activity is subject to both profit & loss and may not be suitable for you. The past performance of this product is not and should not be taken as an indication of future performance.

Kapitales Research, Suite 1A, Level 2, 802-808 Pacific Highway, Gordon NSW 2072, Australia | 1800 005 780 | info@kapitales.com.au