More than $25 million will go back into the pockets of low-earning Aussies who were overcharged by four banks following bombshell findings from the Australian Securities and Investments Commission (ASIC).
A whopping $28 million will go back into the pockets of low-earning Aussies after a bombshell report exposed how banks were overcharging millions doing it tough.
More than $25 million will go back into the pockets of low-earning Aussies who were overcharged by four banks following bombshell findings from the Australian Securities and Investments Commission
Many were kept in these high-fee accounts as the banks had ‘opt-in’ processes which required customers to take active steps to use the appropriate low-fee alternatives, according to the report. “Banks knew that many of these customers on low-incomes were in inappropriate high-fee accounts, and it has taken ASIC’s intervention to force them to act,” he said.
Mr Kirkland welcomed the estimated $28m to go back into the pockets of Aussies over the coming 12 to 18 months but called for more to ensure this issue did not happen again in future. Many customers were crippled by dishonour fees, overdraw fees and account keeping fees which eroded their limited funds.
Caroline, a single mother on a carer’s payment in Hervey Bay, Queensland, was refunded $4,220 of overdraw fees after being automatically switched by her bank to a low-fee account, while another ABSTUDY recipient will get $3,625 back in dishonour fees due to the project.
