Australia and New Zealand Banking Group (ANZ) is refunding $5 million to basic account holders for incorrect late payment and over limit fees.
The Australian Securities and Investment Commission (ASIC) Deputy Chairman, Peter Kell said about 25,000, "low income consumers who are unable to pay high fees", will be refunded approximately $5million, after ANZ failed to properly apply some fee reductions and fee waivers.
The fees were incorrectly applied to customers who have an ANZ Access Basic account and ANZ consumer credit card or ANZ Everyday Visa Debit Card (since 2007).
An Access Basic account is available to people including holders of a Senior Concession card, Centrelink Health Care card or a Repatriation Health Card.
ANZ has started contacting affected customers to explain the error.
ASIC said the reimbursement and remediation will be completed by the end of April 2016.