Assistant Treasurer Stephen Jones says it is going to bring buy now pay later services into the National Consumer Credit Act.
There's been a boom in buy now pay later schemes over the past five years, with more than seven million Australians currently holding accounts.
But there's also been a boom in debt.
A 2022 report from women's advocacy group Good Shepherd found the groups at greatest risk are young people, single parents, and women.
Good Shepherd's report interviewed 33 financial counsellors.
60 per cent said either half, most, or all of their clients have buy now pay later debts.
Seventy-three per cent said their clients have missed bills, or have gone without essentials, to pay off those debts.
