Ferratum Australia Pty Ltd (in liquidation) has been ordered to pay a total of $16 million in penalties by the Federal Court for numerous contraventions of the National Consumer Protection Act and the National Credit Code.
The Court had earlier found that Ferratum had:
- entered into contracts which imposed prohibited fees and charged those fees to its customers,
- incorrectly calculated payout amounts for its customers in two-thirds of the sample that ASIC reviewed, including one customer who was overcharged over 30% of their total loan amount, and
- failed to maintain the systems necessary to ensure it charged its customers properly for early payouts on small amount credit contracts.
In determining the penalties to be imposed on Ferratum, his Honour…
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