Default listed for less than $150 — is the listing even valid?

Quick Answer: In Australia, a default can only be listed on your credit file if the overdue amount was at least $150 at the time of listing, under the Privacy (Credit Reporting) Code. A default listed for less than $150 fails this mandatory threshold and is open to dispute under the Privacy Act 1988 — a ground Australian Credit Solutions investigates as part of every free credit file assessment.

Most people assume that if a default is on their credit file, it must have been listed correctly. The hard reality is that defaults are listed by credit providers, not verified by regulators in real time. Procedural requirements get missed. One of the clearest technical grounds to challenge a listing is the amount threshold — and it catches more defaults than you'd expect.

What is the minimum amount required to list a default in Australia?

In Australia, a credit provider can only list a default on your credit file if the overdue amount was at least $150 at the time of listing, under the Privacy (Credit Reporting) Code that came into effect on 25 March 2025. This minimum threshold is a mandatory condition, not a guideline. A listing that falls below $150 at the point the credit provider lodged it fails a core requirement of the Code and can be challenged under the Privacy Act 1988.

The threshold applies to consumer credit — credit provided to an individual for personal, domestic or household purposes, or used to purchase or renovate a home. It prevents defaults appearing for trivial billing errors, minor disputed charges or small balances that linger after an account closes.

Why does the $150 floor matter for your credit file?

A default sits on your credit file for five years under the Privacy Act 1988 and can block you from getting a home loan, car loan, phone plan or rental property. That five-year impact should only flow from a debt the Code deems significant enough to record. Below $150, the harm to the individual outweighs the informational value to future lenders — and that is precisely why the minimum exists.

The OAIC (Office of the Australian Information Commissioner) supervises compliance with the Privacy (Credit Reporting) Code. If a credit provider lists a default for less than $150 and the bureau records it without checking, both may have contributed to an unlawful listing on your file.

What counts as the overdue amount for the $150 threshold?

The "overdue amount" is the balance outstanding at the time the default is listed, including any interest and fees that legitimately accrued under the original credit contract. It does not include collection costs or penalty charges added after the formal default notice process began.

If your original debt was $90 and the creditor added $80 in fees after the account fell overdue, whether the combined figure clears $150 depends on whether those fees arose under the original contract. Where the original debt was simply below $150 and unchanged, the listing is invalid on its face. Where fees are involved, a professional review of the credit contract is worthwhile before disputing.

How to check whether your default met the $150 threshold

The starting point is your credit file, which you can get for free from any of the three credit reporting bodies operating in Australia: Equifax, Experian and illion. Each maintains an independent file, so check all three — a default can appear on one bureau's file and not another's.

On the credit file you receive, look for the listed default and find the "overdue amount" field. That figure is what the credit provider lodged at the time of listing. If it is below $150, you have a documented technical ground to dispute. You can also ask the credit provider directly for a copy of the original default notice — it will show the amount they submitted.

For more on defaults that appear differently across bureaus, see our article on defaults showing on one credit bureau but not others.

Is a default under $150 automatically removed when you dispute it?

No — but it is one of the strongest grounds you can have. When you lodge a dispute under the Privacy Act 1988, the credit reporting body must investigate within 30 days and seek confirmation from the credit provider. If the credit provider cannot demonstrate the overdue amount met the $150 minimum at the time of listing, the bureau should correct or remove the default.

Some disputes are rejected even when the grounds are sound. If that happens, escalate to the OAIC, which has the power to investigate credit reporting complaints and require corrections — free of charge. You can also engage a credit repair specialist acting under Australian Credit Licence ACL 532003 to pursue the dispute professionally.

If financial pressure is part of the picture, the National Debt Helpline (1800 007 007) is a free service staffed by independent financial counsellors who can help you understand your options before taking formal steps.

Other validity requirements a default must also meet

The $150 threshold is one requirement; a valid default must satisfy all of the following:

A listing can fail more than one condition. A $90 balance that the creditor also failed to serve a valid s.21D notice for has two independent grounds to dispute. See: Default listed without notice — is it even valid? and Default listed before 60 days overdue — when it's invalid under Australian law.

What to do step by step if you believe your default was listed below $150

1. Get your credit file from Equifax, Experian and illion — free from each bureau. Note the overdue amount shown for the default.
2. Check your own records — bank statements and the original credit contract will confirm the actual balance at the time the default was listed.
3. Dispute in writing with the credit reporting body — cite the Privacy (Credit Reporting) Code, state that the listed overdue amount is below $150, and ask for the listing to be removed. The bureau has 30 days to respond under the Privacy Act 1988.
4. Escalate to the OAIC if the bureau rejects your dispute without a satisfactory reason — the OAIC supervises compliance and can order corrections.
5. Get professional support if fees are in dispute and the threshold is unclear — Australian Credit Solutions offers a free credit assessment and can manage the dispute under ACL 532003 on a no win, no fee basis.

A default for less than $150 has a procedural flaw from the moment it was listed. That flaw gives you a concrete, documented path to having the listing corrected.

Frequently Asked Questions

What is the minimum overdue amount for a default to be listed on your credit file in Australia? In Australia, a credit provider can only list a default if the overdue amount was at least $150 at the time of listing, under the Privacy (Credit Reporting) Code. A default recorded for a lesser amount fails this mandatory condition and can be disputed under the Privacy Act 1988. The credit reporting body must investigate your dispute within 30 days.

Can a default listed for $90 be removed from my credit file in Australia? Yes — a default listed for $90 does not meet the $150 minimum required by the Privacy (Credit Reporting) Code. You can dispute it with the credit reporting body under the Privacy Act 1988. If the credit provider cannot confirm the threshold was met at the time of listing, the default should be corrected or removed. Australian Credit Solutions can assist with this dispute under ASIC ACL 532003.

Does the $150 minimum threshold apply to all types of defaults in Australia? The $150 minimum applies to consumer credit defaults — credit used for personal, domestic or household purposes, including home loans. It does not apply to commercial or business credit. If your default comes from a consumer account such as a home loan, personal loan, car loan, utility account or mobile plan, the threshold applies and a listing below $150 may be invalid.

How do I find out the overdue amount shown on my default? Request your credit file for free from Equifax, Experian or illion. Each file will show the overdue amount the credit provider lodged when listing the default. You can also ask the credit provider directly for a copy of the default notice issued before the listing, which will confirm the figure submitted to the bureau.

Can fees and interest added after the account fell overdue push the amount over $150? The $150 threshold applies to the overdue amount at the time of listing, which can include interest and fees that legitimately accrued under the original credit contract. Collection costs added after the formal notice process began generally do not count. If the original debt was well below $150, adding fees may not make the listing valid — your specific credit contract determines whether those charges were legitimately part of the overdue amount.

How long does it take to remove an invalid default from my credit file in Australia? Credit reporting bodies in Australia must investigate and respond to a default dispute within 30 days under the Privacy Act 1988. Where a listing is confirmed invalid — for example because the overdue amount was below $150 — the correction or removal should follow shortly after. End to end, most disputes resolve within 30–90 days, depending on how promptly the credit provider responds.

What if the credit bureau rejects my dispute about a sub-$150 default? A rejected dispute can be escalated to the OAIC (Office of the Australian Information Commissioner), which supervises the Privacy (Credit Reporting) Code and can require corrections free of charge. Alternatively, Australian Credit Solutions can pursue the dispute under ASIC ACL 532003 — if the ground is valid, we pursue it on a no win, no fee basis.

Does the $150 threshold apply to defaults listed by debt buyers? In most cases only the original credit provider can list a default — not a buyer who purchased the debt after it fell overdue. If a debt buyer has listed a new default and the amount is also below $150, those are two independent grounds to dispute. See also our article on defaults listed after debt is sold.

Can Australian Credit Solutions dispute a sub-$150 default on my behalf? Yes — Australian Credit Solutions disputes defaults where there are valid grounds under the Privacy Act 1988, including defaults that fail the $150 minimum threshold. We operate under ASIC Australian Credit Licence ACL 532003. The process starts with a free credit file assessment: we review your file, identify which listings have grounds to dispute, and explain your options honestly. No win, no fee.

What to do next

If you've found a default on your credit file with an overdue amount below $150 — or any listing that looks like it may not have followed the rules — the right step is a full file review, not just focusing on one listing.

Our default removal service starts with a free assessment. We review every listing on your file, identify which ones have valid grounds to dispute under the Privacy Act 1988, and explain your options plainly. If a listing can be challenged, we manage the process. If it can't, we tell you that clearly. No assumptions, no guaranteed outcomes — just an honest read of what the law allows.

Get My Free Assessment → 📞 0480 031 704 🛡️ ASIC Licensed ACL 532003 | ⭐ 5.0/5 from 987+ Reviews | 🏆 ProductReview Best 2026

Australian Credit Solutions Pty Ltd holds Australian Credit Licence ACL 532003. Credit repair services are subject to individual assessment. Results may vary. This article provides general information only and does not constitute legal or financial advice.

Related reading: What is a credit default in Australia? → | Default listed without notice — is it even valid? → | Default listed before 60 days overdue →