asked the Minister representing the Minister for Financial Services and Superannuation, upon notice, on 29 September 2010:

Have there been any situations where the banks' 'all Monies clause' has been used to try to attach a debt to people who were not even aware that they were responsible for the guarantee of a third party.

The Minister for Financial Services and Superannuation has provided the following answer to the honourable senator's question:

In 2009, the Government enacted the National Consumer Credit Protection Act 2009 including the National Credit Code, which introduced for the first time, a nationally consistent legislative regime for the regulation of consumer credit. Section 59 of the National Credit Code makes any guarantee unenforceable unless the credit provider has given the guarantor a copy of the contract document and subsequently obtained the guarantor's written acceptance. Therefore under the Commonwealth's legislation, banks can not use an 'all monies clause' to attach a debt to people who are not aware that they are responsible for the guarantee of a third party.