Retirement
Government details new complaints body
The federal government has outlined some of the features of its new ‘one-stop shop’ financial services resolution scheme, known as the Australian Financial Complaints Authority (AFCA).
Government details new complaints body
The federal government has outlined some of the features of its new ‘one-stop shop’ financial services resolution scheme, known as the Australian Financial Complaints Authority (AFCA).
The new complaints authority will combine the responsibilities of three current bodies, the Financial Ombudsman Service, the Credit and Investments Ombudsman, and the Superannuation Complaints Tribunal, and increased monetary limits will give it more power to redress wronged Australians, according to Minister for Revenue and Financial Services Kelly O’Dwyer.
The bill outlining AFCA’s establishment, Ms O’Dwyer noted, will include the transitional arrangements from the current three-body system to the new one (which will be complete by 1 July 2018), the enshrinement of existing super complaints processes and features, and the ability for the minister to appoint a minority of the group’s board, to ensure it has the appropriate experience when it commences.
The Australian Bankers’ Association (ABA) said it welcomed the changes to the dispute resolution system, describing it as a “win for consumers”.
“The ABA strongly supports moving to a one-stop shop to simplify how customers resolve complaints,” said Anna Bligh, the CEO of the ABA.
“External dispute resolution is an important alternative to the court system as it is free for customers to use and doesn’t require formal legal representation.”
Ms Bligh said the ABA “looks forward” to working with government to oversee the new authority’s implementation.
The Consumer Action Law Centre (which advocates for Australian financial services consumers) said it was pleased to see that AFCA would build on existing complaint bodies rather than “there being a competitive selection process for its authorisation”, adding that ombudsman schemes have been a “hallmark” of good consumer protection.
However, Consumer Action Law Centre CEO Gerard Brody noted that the full scope of the body’s role has not yet been publicly discussed.
“The details of the jurisdiction of the new AFCA is yet to be determined,” he said.
“We’re looking forward to further consultation on its terms of reference to ensure it’s an improved new scheme, building on the existing ombudsman services.”
RELATED ARTICLES
Retirement Planning
Majority of Australians still unsure about their retirement prospects
A recent survey conducted by MFS Investment Management® has shed light on the ongoing uncertainty faced by many Australians regarding their retirement plans. Despite a slight increase in confidence ...Read more
Retirement Planning
Wage growth steadies as businesses navigate economic challenges
In a sign that the Australian labour market may be finding equilibrium, wage growth has stabilised this quarter, according to Employment Hero's latest data. This development comes as employers ...Read more
Retirement Planning
Simplified retirement advice: Key to overcoming behavioural biases, experts say
In a bid to enhance retirement outcomes for Australians, a recent whitepaper by Industry Fund Services, in collaboration with Challenger, has highlighted the importance of simplifying retirement ...Read more
Retirement Planning
Rest launches Retire Ready digital experience to empower members approaching retirement
Rest, one of Australia’s largest profit-to-member superannuation funds, has unveiled a new digital experience aimed at making retirement preparation simpler and more personalised for its members. Read more
Retirement Planning
New Framework Aims to Bridge Australia’s Financial Advice Gap
A ground-breaking framework introduced by the Actuaries Institute promises to revolutionise how Australians access financial support, potentially transforming the financial wellbeing of millionsRead more
Retirement Planning
The downsizer dividend: how Australia’s ageing shift will reshape property, finance and AI strategy
Downsizing is moving from a personal milestone to a system-level lever for Australia’s housing market. As policymakers court reforms and agents eye fresh listings, the real profit pools will accrue to ...Read more
Retirement Planning
Half of Australians financially insecure about retirement as AMP launches new initiative
In a significant move aimed at addressing the retirement concerns of Australians, AMP has unveiled the Retirement Confidence Pulse, a national barometer designed to gauge the financial confidence of ...Read more
Retirement Planning
North introduces Grow to expand Australia's financial advice footprint
In a bid to bridge the gap between the demand for financial advice and its accessibility, North, a prominent platform for superannuation and retirement in Australia, has launched an innovative ...Read more
Retirement Planning
Majority of Australians still unsure about their retirement prospects
A recent survey conducted by MFS Investment Management® has shed light on the ongoing uncertainty faced by many Australians regarding their retirement plans. Despite a slight increase in confidence ...Read more
Retirement Planning
Wage growth steadies as businesses navigate economic challenges
In a sign that the Australian labour market may be finding equilibrium, wage growth has stabilised this quarter, according to Employment Hero's latest data. This development comes as employers ...Read more
Retirement Planning
Simplified retirement advice: Key to overcoming behavioural biases, experts say
In a bid to enhance retirement outcomes for Australians, a recent whitepaper by Industry Fund Services, in collaboration with Challenger, has highlighted the importance of simplifying retirement ...Read more
Retirement Planning
Rest launches Retire Ready digital experience to empower members approaching retirement
Rest, one of Australia’s largest profit-to-member superannuation funds, has unveiled a new digital experience aimed at making retirement preparation simpler and more personalised for its members. Read more
Retirement Planning
New Framework Aims to Bridge Australia’s Financial Advice Gap
A ground-breaking framework introduced by the Actuaries Institute promises to revolutionise how Australians access financial support, potentially transforming the financial wellbeing of millionsRead more
Retirement Planning
The downsizer dividend: how Australia’s ageing shift will reshape property, finance and AI strategy
Downsizing is moving from a personal milestone to a system-level lever for Australia’s housing market. As policymakers court reforms and agents eye fresh listings, the real profit pools will accrue to ...Read more
Retirement Planning
Half of Australians financially insecure about retirement as AMP launches new initiative
In a significant move aimed at addressing the retirement concerns of Australians, AMP has unveiled the Retirement Confidence Pulse, a national barometer designed to gauge the financial confidence of ...Read more
Retirement Planning
North introduces Grow to expand Australia's financial advice footprint
In a bid to bridge the gap between the demand for financial advice and its accessibility, North, a prominent platform for superannuation and retirement in Australia, has launched an innovative ...Read more
