Skip to main content
Financial Assistance Hub

Banks welcome ‘one stop shop’ for resolving disputes

31 October 2018

The newly created Australian Financial Complaints Authority, to begin operation on November 1, is an important step to streamlining dispute resolution, making it easier to access and easier to understand for customers.

CEO of the Australian Banking Association Anna Bligh said banks are strong supporters of external dispute resolution and supported streamlining the process to better help customers understand where they need to go if they have a complaint.

“A fast, free and binding service which deals with disputes outside of court is the best way for a customer’s issue to be heard and quickly resolved,” Ms Bligh said,

“Banks first set up an external dispute resolution scheme for their customers in 1989 with the Australian Banking Industry Ombudsman Scheme to ensure a fair and transparent outcome for both parties.

“The creation of AFCA as a one stop shop is an important next step for the industry as it provides customers an easy to access and easy to understand avenue for having disputes resolved quickly and fairly.

“Merging external dispute resolution schemes from insurance, banking and superannuation into one organisation will ensure there is a consistency for the customer in decision making on their issues.

“AFCA will have increased powers including expanded scope to hear disputes from larger businesses and the ability to award compensation for direct and indirect financial loss and non-financial loss.

“The Banking Code of Practice will be used by AFCA as the new benchmark for industry practice, considering in its investigations if a bank has breached the Code and therefore its contract with the customer,” she said.

All ABA banks are members of the scheme therefore financially contribute to AFCA, which will ultimately be fully funded by contributions from the broader financial services industry.

ENDS

Contact: Rory Grant 0475 741 007

Latest news

1 / 3
Media Releases
Finalisation of independent pricing model report to support cash distribution
3 October 2025

Deloitte Access Economics has now determined its recommended regulated pricing model for Armaguard’s Cash-in-Transit services. The final independent pricing mechanism report has been provided to Armaguard as well as the major banks and major retailers.  This is an important milestone in working to keep cash available around Australia, even while people are using less of… Read more »

Read more
Transcript
ABA CEO Simon Birmingham transcript of interview on ABC RN Breakfast with Sally Sara
24 September 2025

E&OERadio InterviewABC RN Breakfast with Sally SaraWednesday, 24 September 2025. Sally Sara (Host): Reserve Bank Governor Michelle Bullock has hit out at Australia’s big four banks for standing in the way of making shopping cheaper for customers. The RBA wants to ban surcharges on card payments. To fund the ban, it wants to dramatically cut… Read more »

Read more
Media Releases
Australian banks acknowledge the contribution of outgoing ASIC Chair Joe Longo
19 September 2025

The ABA today acknowledges and thanks outgoing ASIC Chair Joe Longo for his strong leadership as Chair of ASIC for the past five years.  ABA CEO Simon Birmingham said Mr Longo had made a significant contribution to ensuring Australia has a fair financial system focused on the interests of both investors and consumers.  “The ABA… Read more »

Read more