The Australian Federal Court has ordered Money3 Loans Pty Ltd to pay penalties of $1.55 million for breaching responsible lending obligations when providing car finance to vulnerable consumers.

In September 2025, the Court found that for five loans entered into between May 2019 and February 2021, Money3 did not make reasonable inquiries about or verify each borrower’s living expenses based on bank statement transaction data it held.

In one instance, the Court also found that Money3 failed to make reasonable inquiries about the borrower’s requirements and objectives.

Justice McElwaine said:

‘These matters justify significant pecuniary penalties as a specific deterrent to Money3 to ensure that they are not repeated, but also generally so that all licensees understand the importance of the inquiry and verification steps.

‘The failures were serious and they undermine the very purpose of the licensee responsible lending obligations.’