Hi there. According to RACQ's own company policies, they must act in a fair and considerate manner that takes into account financial hardship. Specifically, if a person is experiencing difficulty in repaying the debt due to illness, unemployment or another reasonable cause, RACQ can extend the period of repayment and reduce the amount of each instalment, postpone payments for an agreed period, or extend the period of repayments for an agreed period of time. You should contact RACQ for an evaluation of your situation and request one of the above options.

If you cannot reach an agreement after the evaluation, RACQ will try and have the issue resolved internally by having your situation reviewed by another evaluator with more knowledge and experience. If you are still not satisfied within 45 days of lodging your complaint, RACQ will refer you to the Financial Ombudsman Service (www.fos.org.au) so the dispute can be resolved externally. RACQ will provide instructions on how to lodge a dispute with the Ombudsman.

Suggested way forward

The most practical solution at this stage would be to call RACQ on 131 905 and explain your situation to someone from the 'claims' line. If the issue persists, you may want to consider speaking to a lawyer who can advise you of your legal rights and responsibilities. By pressing the “Consult a Lawyer” button, LawAdvisor can help you search for experienced lawyers and obtain fee proposals for their services. Costs for legal advice and representation will vary between providers based on experience and the scope of services.