The supply of credit, credit cards, hire agreements and loans is strictly regulated.

A person under the age of 18 has no capacity to enter into a credit agreement, hire agreement, credit card or loan. The effect of this is that the debt is strictly unenforceable. For obvious reasons, therefore, credit and hire companies go to significant lengths to avoid entering into any agreements with any person under the age of 18.

It is also an offence to market credit facilities to persons under the age of 18, although as a result of case law, this provision is now practically unenforceable.

  • It is illegal to send a document to a person under 18 years of age inviting them to borrow money, obtain goods on credit or hire, obtain services on credit, apply for information or advice about credit.
  • It is a defence to show that the offender did not believe the person to be under 18 years of age. The defence does not apply if the document is sent to a school.