On a weekend evening, while no one else was present at the family home which is located in New South Wales, Australia , Phoncie answered a knock on the front door to find a representative from Mr Smith, a local businessman, offering credit under a 'book-up' arrangement: under such an agreement, a customer is required to give Mr Smith a debit card linked to a bank

account into which they receive Centrelink payments, and to disclose the card's 'PIN'. The creditor is then authorised to withdraw funds from the debtor's account in order to reduce the portion of the loan remaining.

Phoncie emigrated to Australia in the 1950s and is not fluent in English. At his first visit, Mr Smith's representative agrees to visit Phoncie at a later date so that he can consider the arrangement. After a few further visits, including at least one that is unsolicited, Phoncie agrees to a book-up arrangement with Mr Smith. Phoncie does so as he feels it will be easier to access his money rather than going to a bank, given that his mobility is increasingly limited and he believes that modern cashless payment systems are perplexing, lack transparency, and open to fraudulent activity. Phoncie is unconcerned by the effective interest rate charged under the arrangement, which is, in fact, not made clear to him but is significantly more than commercial lending rates .

While providing a solution for Phoncie consider the legal issues that arise under the Australian Consumer Law (ACL) in respect of the information stated above. Also briefly consider the enforcement and/or remedial provisions under the ACL that may be suitable in respect of the behaviour outlined there.

Then, provide Phoncie legal advice on those legal issues with any possible remedies available under the Australian Consumer Law (ACL)