ANZ to refund low income customers $5 million due to glitch
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.
Recommended for you
The Reserve Bank of Australia (RBA) has lowered rates to a level not seen since mid-2023.
Financial Services Minister Stephen Jones has shared further details on the second tranche of the Delivering Better Financial Outcomes reforms including modernising best interests duty and reforming Statements of Advice.
The Federal Court has found a company director guilty of operating unregistered managed investment schemes and carrying on a financial services business without holding an AFSL.
The Governance Institute has said ASIC’s governance arrangements are no longer “fit for purpose” in a time when financial markets are quickly innovating and cyber crime becomes a threat.
