Debt Collection in Australia: What Collectors Can and Cannot Do
Last updated: June 2026
Debt Collection Rules in Australia
Debt collectors in Australia must comply with the Australian Consumer Law (ACL), ASIC Act, and joint ASIC/ACCC debt collection guidelines. These rules protect you from harassment and unconscionable conduct.
What Debt Collectors Are NOT Allowed to Do
Collectors cannot:
- Contact you at unreasonable hours (before 7:30 am or after 9 pm on weekdays; before 9 am or after 9 pm on weekends; or on public holidays)
- Contact you more than 3 times per week or 10 times per month without consent
- Use threatening, abusive, or misleading language
- Claim to be a sheriff, bailiff, or court officer (unless they are)
- Misrepresent the amount owed
- Make false threats of legal action they do not intend to take
- Contact your employer without your consent (except to confirm your employment for garnishment proceedings)
- Harass you at your workplace if you have asked them to stop
Your Rights
Request written confirmation: You can ask for written details of the debt, the original creditor, the amount, and how it was calculated.
Dispute the debt: If you dispute the debt, tell the collector in writing. A reputable collector should pause collection activity while the dispute is investigated.
Ask them to stop contact: You can ask collectors to only communicate in writing, or through your representative (lawyer, financial counsellor).
Hardship: If you are in financial hardship, you can request a hardship arrangement with the original creditor (bank, utility, etc.) under the National Consumer Credit Protection Act or their own hardship policy.
What To Do If a Collector Breaks the Rules
- Keep records of all contact (dates, times, what was said)
- Complain to ASIC (asic.gov.au) for credit-related debts
- Complain to the ACCC (accc.gov.au) for consumer debt
- Complain to the collector's internal disputes team or the Australian Financial Complaints Authority (AFCA) for banking/finance debts
- See a financial counsellor (National Debt Helpline: 1800 007 007, free)
Statute of Limitations
In most states, a creditor has 6 years from when the debt became due (or was last acknowledged) to sue you. After that, the debt may be statute-barred. Acknowledgment of a debt can restart the clock.